Homrich & Berg says Warsh puts Fed price stability drive at center of inflation fight

  • Homrich & Berg analysis flagged entrenched inflation expectations despite a pullback in market-based measures tied to Middle East peace talks.
  • Consumer year-ahead inflation expectations at 5.2%, near the 89th percentile of readings since 1987.
  • Small businesses still rank inflation as a top concern, behind taxes.
  • ISM manufacturing prices-paid index at 82.1; services prices-paid at 71.3, both well above long-run norms.
  • Kevin Warsh underscored “price stability” 14 times at the post-FOMC press conference, signaling tighter focus on inflation control.


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