Truflation CEO Sees No Rate Hike Despite Warsh's Hawkishness

Federal Reserve Chair Kevin Warsh's hawkishness is a "distraction from his dovishness," according to Truflation CEO Stefan Rust. Rust predicts no rate hike at next week's meeting, but says oil prices above $110 could lead to a hike. He believes Warsh's interest in trimmed-mean inflation and the Taylor rule, combined with Truflation's lower inflation readings, weaken the case for a hike. Rust also expects Warsh to be closer to Treasury Secretary Scott Bessent's preference for lower rates than his public comments suggest.