Federal Reserve Chair Kevin Warsh said on August 28 that further monetary tightening could be necessary if inflation pressures do not ease sufficiently, while declining to signal a specific path for interest rates. Speaking at the Federal Reserve’s annual Economic Policy Symposium in Jackson Hole, Wyoming, Warsh said recent PCE and CPI readings were better than expected but did not show a meaningful improvement in the underlying inflation trend. He reiterated the Fed’s 2% inflation target and said core inflation must move toward it at a clear and sufficiently rapid pace. Warsh also criticized traditional forward guidance (preemptive signals about future policy), calling it past its expiration date, and opposed pre-announcing a reaction function (policy responses to specific economic data). On his 100th day in office since taking the helm in May, he announced five task forces to reassess the Fed’s functions and advocated less frequent but more purposeful communication. The changes are presented as an effort to reduce the Fed’s expanded market intervention and communication after the 2008 global financial crisis and move toward a pre-crisis approach.