Kevin Warsh caused Bitcoin and gold prices to fall during the first FOMC press conference: What did he say?

Kevin Warsh held his first press conference as Fed Vai on June 17, 2026.

Gold and Bitcoin prices plummeted as Warsh's debut delivered statements unfavorable to risk assets.

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Market highlights from Warsh's first FOMC meeting.

Following the decision to keep interest rates unchanged , key takeaways from his press conference, aside from his refusal to provide direction for the future, include:

• Regarding decision-making and the economy:

“This week’s FOMC meeting exemplifies the best traditions of the Fed: open debate, flexibility, dedication to mission, responsibility, and accountability for results… Setting monetary policy to be right—or as close to right as possible. That is our guiding principle.”

The committee maintained the target range for the federal funds rate at 3.50%–3.75%.

Economic activity is “developing steadily,” with high productivity, strong Capital investment, and a solid labor market; however, inflation has exceeded 2% for more than five years.

• Regarding the commitment to price stability:

“I am pleased to report that the FOMC members are unanimous and unequivocally in their belief that this committee will deliver price stability.”

• Regarding the new policy statement, in a shorter version:

"It's been made more concise, simpler, and has removed the old jargon. We're only providing factual information, at the best level we can assess."

"Without prior planning, we agreed that it was not appropriate given the current policy context."

• Regarding the DOT/SEP chart:

“It is the committee’s practice for members to submit these forecasts, and I have encouraged my colleagues to continue doing so. However, I will not be giving my own forecast.”

Median forecasts suggest a slightly upward interest rate trajectory, with nine officials predicting at least one rate hike in 2026.

• Regarding the five task groups (communications, balance sheet, data sources, productivity/employment/AI, inflation framework):

“These topics are very timely, highly significant, and, in my opinion, worth XEM … They will have a clear mission: to raise difficult questions, XEM current practices, and consider alternative options.”

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“Each mission group will have a common goal… A Federal Reserve that is clear about its mission, aligned with its purpose, and forward-looking.”

Key answers in the Q&A section

• Regarding the 2% inflation target:

“This is the Fed’s long-term target of 2%. The number ‘two’ is to the left of the decimal point. Currently, it’s ‘zero’ to the right.”

"I see no reason to XEM until we re-establish our commitment and ability to achieve the 2% inflation target."

• Regarding internal decisions (“family disputes”):

"We may agree on some proposals, disagree on others, and have lively debates like a family. However, I hope that the lessons learned will help make internal discussions better, stronger, and more critical, ultimately achieving the goal of price stability."

• Regarding inflation as an option/commitment:

"The commitment to achieving our goals is very strong, unified, and clear. I think this is an important message we've lacked over the past five years, and now we're going to make up for that."

Warsh emphasized relying on data, reducing forward-looking guidance, and allowing the market to react to data rather than signals from the Fed.

He avoided making upfront commitments about a future interest rate trajectory and focused on long-term institutional improvements.