Fastrack · Warsh Plans to Eliminate Some Fed Rate-Setting Meetings

Fed Chairman Kevin Warsh said Wednesday the central bank will hold one strategy-only meeting in 2027 and two in 2028. Those meetings will not include rate decisions.

8 scheduled FOMC meetings a year has been the norm since 1981.
Strategy meetings will produce no rate announcement and no post-meeting statement.
The Fed left rates unchanged after a September hike of 25 basis points.
Many Fed watchers had expected a cut to six meetings a year.

Why it matters: Warsh says the change frees time for longer-term thinking. Opponents have long warned that fewer meetings could make the Fed slower to respond to sudden shocks.

The shift would set the Fed apart from the Bank of England and Bank of Japan.
It follows other Warsh changes, including a shorter post-meeting statement and an end to forward guidance.

The story so far

2 steps · since Oct 28

Oct 2810:21 AMFed Holds Rates Steady Amid Inflation Concerns59 sources
Oct 282:55 PMWarsh Plans to Eliminate Some Fed Rate-Setting MeetingsYou are hereLatest

How 5 sources split on this story

Source landscape

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Coverage by lean% of 5 sources

5 sources · 5 articles · 60% Center coverage

Where they split: Coverage differs on emphasis: NBC News frames the change as eliminating rate-setting meetings and notes the risks, while Breitbart News frames it as adding a new strategy meeting.

Center coverage, 3 sources: The center treats the change as one item in a market story centered on the rate pause and inflation.

CNBC4hBond investor Jeff Gundlach talks to CNBC about Fed's rate pause, Warsh reducing vote-setting meetings The National Desk3hFed to cut back on rate-setting meetings, Fed chair Warsh says Yahoo News3hThe Fed just removed a 2027 rate decision — making the remaining 7 even more important

Left coverage, 1 sources: The left sees a major shakeup that cuts rate-setting meetings and could make the Fed less nimble.

NBC News4hFed plans to eliminate some rate-setting meetings, Chairman Warsh says

Right coverage, 1 sources: The right sees a new type of meeting built to make room for strategic deliberation.

Breitbart News4hWarsh Announces A New Type of Fed Meeting Focused on Strategy

What’s next: Inflation remains above the Fed's 2% target, and the Fed says incoming data will guide its next move.

CME's FedWatch tool shows an 85% chance of a 25-basis-point hike in December.
Which 2027 meeting will become the first strategy session?
How would the Fed respond to a sudden shock between rate-setting meetings?