Inflation and Kevin Warsh take center stage at the Fed’s interest rate meeting

EconomyInflation and Kevin Warsh take center stage at the Federal Reserve’s interest rate meetingInvestors will be watching closely for clues to the new Fed chairman’s views on rates, inflation and the central bank’s operations.Listen to this article with a free account00:0000:00Wednesday will be Kevin Warsh’s first meeting of the Federal Open Market Committee as its chairman.Alex Brandon / APShareAdd NBC News to GoogleJune 17, 2026, 5:00 AM EDTBy Steve Kopack and Allie CanalRising inflation and new Federal Reserve chairman Kevin Warsh will take center stage on Wednesday when the central bank meets to decide on the path forward for interest rates.Subscribe to read this story ad-free Get unlimited access to ad-free articles and exclusive content.The meeting comes just days after the U.S. and Iran said they had reached a peace deal, which has not been signed yet. Still, the falling oil prices will likely ease some pressure on Warsh at his first Federal Open Market Committee as chairman.Oil prices remain higher by 30% since the start of the year, and traders still expect Warsh and the committee will raise rates by December to blunt rising inflation. Wholesale business inflation surpassed 6% in May and overall consumer inflation rose above 4%, both a result of the Iran war energy shock that continues to ripple through the U.S. economy. In February, President Donald Trump told NBC News that he would not have nominated Warsh for the job unless he thought Warsh would lower interest rates quickly. But the economic picture in America has changed dramatically since then. More recently, Trump said he conveyed to Warsh that the new chairman was free to “do your own thing” vis-a-vis interest rates. For the moment, the central bank is widely expected to keep rates unchanged. The Fed’s rate-setting committee typically does not shift monetary policy in response to changes in volatile energy prices. Before taking any action on rates, FOMC members likely want to see what happens with...