“were Warsh to signal that he would stay 'dovish' indefinitely, it could be self-defeating for him and the Treasury, since inflation breakevens would rise further, perhaps undoing the stability in the nominal long-term yields that [Treasury Secretary] Scott Bessent is trying to achieve.”

Thierry Wizman · said date not stated · reported 2026-08-21

Thierry Wizman evaluates the potential market risks of Fed Chairman Kevin Warsh signaling a dovish stance.