Warsh Announces A New Type of Fed Meeting Focused on Strategy

The Federal Reserve will change its calendar next year to dedicate one of its eight meetings to a broad discussion of monetary policy strategy rather than deciding the appropriate policy rate, Fed chairman Kevin Warsh said Wednesday. Warsh said that the strategy meeting will not include an announcement or decision about interest rates. He added that he expects to expand these strategy meetings to two in 2028. The Federal Open Market Committee typically meets for two days eight times per year, issuing a statement after each meeting that typically characterizes economic developments and announces the Fed’s interest rate policy. Warsh had indicated earlier that he was open to changing this. Prior to Wednesday’s press conference, many Fed watchers had speculated that Warsh might move to six meetings per year. The new type of meeting would not produce a post-meeting statement, Warsh said.