Fed Chair: We're Not Bailing Out Anybody, Including Crypto Federal Reserve Chair Kevin Warsh @Not_KevinWarsh said at a July 14 hearing of the U.S. House Financial Services Committee that the Fed does not want to be in the bailout business, and hopes reforms can reduce extreme risks so the financial system is not in a position where anyone needs to be bailed out, including the crypto industry. However, when pressed on whether the Fed would provide support if stablecoins or the crypto market faced a run, Warsh did not make a clear commitment that there would be no bailout under any circumstances.

Kevin Warsh plans to gather the best experts on the Fed’s balance sheet and figure out how to tame that beast. That’s exactly what he should be doing, @AllisonSchrager writes.

Kevin Hassett tells Fox's Maria Bartiromo that it would be a "macroeconomic mistake" for the Fed to raise rates, and he implies that • Warsh doesn't want to tighten policy but faces an unruly committee that might disagree • That Fed officials who want to tighten are motivated by their dislike of President Trump Transcript: "Chairman Warsh has said over and over that he believes, as I believe, as you probably believe, that we're at a supply-driven boom, both because we've got A.I. and because we've got all these supply side tax cuts for labor, with the no tax on overtime, no tax on tips, and so on, and so in that backdrop, it's just a macroeconomic mistake to raise rates. "We trust that the Fed will be data dependent, and that if they think they're going to see inflation numbers that are through the roof that are going to make them really have to raise rates, well, they're going to be proven wrong. But we'll see what the data have to say... "And I'm concerned with Jay Powell's staying [on the Fed's board] that there's a majority of people over at the Fed that are not necessarily going to be voting because they're patriotic, but rather because they want to get Trump. And we're going to have to keep a close eye on that, and you can bet it's not going to be Kevin Warsh's fault, but he's got to herd some cats over there, and it's a really difficult job." Source: Fox Business Network's "Mornings With Maria"

Kevin Warsh’s Federal Reserve will need to raise interest rates by the end of 2026 to tame the burst of inflation sparked by Donald Trump’s Iran war, leading economists said as he prepares for his first meeting as chair.