ECONOMY08/31/26

Warsh's First Jackson Hole Speech

Fed Chair Kevin Warsh signaled possible rate hikes at Jackson Hole, citing stubborn inflation.

Photo: Fox Business

DIFFERENT FOCUS

NPR Economy emphasized Uncertainty, Fed-Treasury Tension; Fox Business emphasized Hawkish Clarity, Forward Guidance Reform.

LEFT FOCUS

▸The speech left investors without a clear path forward on rate policy. — NPR Economy
▸David Wilcox of the Peterson Institute previewed what economists hoped Warsh would clarify. — NPR Economy

RIGHT FOCUS

▸Warsh outlined his view that the Fed's forward guidance should be significantly reined in. — Fox Business
▸Warsh said forward guidance should be reserved only for economic or financial crises. — Fox Business
▸Labor market data is 'broadly consistent with full employment,' despite softer monthly jobs figures. — Fox Business

September CPI Hits 3.7%

Inflation rose to 3.7% in September, the last CPI report before midterm elections.

DEVELOPING TIMELINE

First Report Oct 14: Economists expect September consumer prices to rise 0.6% monthly and 3.6% year-over-year, driven by energy costs.

Sunday: September CPI report confirms 3.7% annual inflation rate

Left: Prices hit everyday Americans on essentials.

Right: Rising prices spell trouble for Trump's party.

Treasury Department fined Bank of America over $1.2 billion for sanctions and anti-money laundering violations

DEVELOPING TIMELINE

First Report Thursday: The US Treasury fined Bank of America $1.2 billion for anti-money laundering and sanctions violations.

Sunday: Treasury fine now cites Chinese money laundering networks

Left: Third-largest Treasury penalty ever imposed.

Right: Tied to Chinese networks and border criminals.

September consumer prices rose 0.6% monthly and 3.7% annually, the fastest pace in five months.

DEVELOPING TIMELINE

First Report Oct 14: Economists expect September consumer prices to rise 0.6% monthly and 3.6% year-over-year, driven by energy costs.

Thursday: September CPI confirmed at 3.7% annually, up from 3.6% prior

Left: Rising prices squeeze everyday Americans hardest.

Right: Inflation surge spells trouble for Trump, GOP.

Trump signs executive order waiving Russia sanctions and tariffs mandated by the Graham Act.

Left: Sanctions targeting Russia's Ukraine war dropped early

Right: Graham Act halted in name of national interest