Federal Reserve chair commits to controlling inflation through monetary policy

Federal Reserve Chair Kevin Warsh told the Senate Banking Committee in July 2026 that the Fed has "no tolerance" for higher inflation. Warsh, who became chair in May 2026, said the central bank is primarily responsible for keeping prices stable. He promised to bring inflation back down to the 2% target but did not explain exactly how. The Fed also released a statement saying it will "deliver price stability." Warsh has taken a different approach from his predecessor Jerome Powell. He said he will not give advance signals about future policy decisions. He held his first news conference as chair in June 2026, shortly after taking office.