Fed Chair Warsh Considers Reducing Number of Annual FOMC Meetings
Fed Chair Warsh is reportedly reviewing the frequency of FOMC meetings, currently held eight times a year, with a potential reduction that would lead to fewer scheduled rate votes.
The Federal Open Market Committee has convened eight times annually since 1981, a schedule that may now be reconsidered by Fed Chair Warsh. Federal law requires the FOMC to meet at least four times per year, providing a floor for any possible change.
Details of the review, reported by the New York Times, indicate that Warsh has not yet proposed a specific number of meetings. Fewer gatherings would translate into fewer scheduled interest-rate votes and less frequent policy decisions.
The potential revision signals a significant shift in the central bank’s operating rhythm, though it remains unclear when or if a formal proposal will emerge.
Source: The Kobeissi Letter