Federal Reserve Chairman Kevin Warsh said in a highly anticipated speech on monetary policy that the central bank is focused on lowering inflation, a stance that could please markets but might bring him into conflict with President Donald Trump’s expressed desire for lower interest rates.

In the closely watched speech at the Jackson Hole Economic Policy Symposium, Warsh indicated that the Fed is more focused on the inflation side of its dual mandate, even as the labor market slows. He also acknowledged the difficult situation facing the economy.

Recommended Stories

Warsh faces similar trap to the one that led to huge inflation in 2022

Inflation fell to 3.4% in July, easing a bit of pressure on Fed

Inflation held at 3.7% in July in Fed’s preferred gauge, reflecting affordability woes