Federal Reserve Chair Kevin Warsh takes center stage in Jackson Hole, Wyoming, delivering keynote remarks at the 2026 Jackson Hole Economic Policy Symposium as investors and economists closely watch for signals about the future direction of U.S. monetary policy.
Warsh’s appearance comes at one of the most closely watched gatherings in global economics, where Federal Reserve officials and policymakers discuss the outlook for inflation, interest rates, economic growth and monetary policy.
The Jackson Hole speech is being watched closely because remarks from the Federal Reserve Chair can offer...
What Kevin Warsh said
Written from the verified transcript and checked against it. Every figure links to the moment it was said.
Kevin Warsh, Chair of the Federal Reserve, spoke at the Jackson Hole symposium on financial innovation and monetary policy. He argued that AI represents a 'hinge point' with potential for higher growth, citing over $100 billion in annualized token sales for leading AI labs. He criticized forward guidance as outdated, preferring limited communication and a 'quieter Fed.' Warsh outlined seven principles, including a firm 2% PCE inflation target and the importance of money. He assessed the economy as strong, with business capex rising 9% and S&P profits up over 20%, but flagged inflation at 3.7% PCE, above target. He emphasized the Fed's responsibility for 65 months of elevated inflation and committed to a discipline, not a decision, on rates.
Key takeaways
Warsh said forward guidance has 'outstayed its welcome' and will be limited in normal times.
Inflation is running at 3.7% PCE, well above the Fed's 2% target, with a six-month rate above 4%.
Business capex is growing at 9% annually, with over half attributed to AI-related buildout.
S&P 500 profits have grown more than 20% over the past year, with margins elevated.
Warsh committed to a 'discipline, not a decision' on interest rates, emphasizing data dependence.
Speaking of a global savings glut was a widely held view that an excess of capital would sit on the sidelines for a very long time because there just wouldn't be enough compelling investment opportunities. All the good stuff, you'll recall, had been invented, so growth would be low and slow. Well, times sure have changed. We've come to a hinge point in history, to borrow a—
Jackson Hole Economic Symposium. This year's symposium will focus on financial innovation and the implications of rapid developments in digital currencies, central bank digital currencies, financial technology for payments, monetary policy, and the international financial system. Jackson Hole, part of the American frontier and Wild West of the 19th century, is an ideal setting to discuss this new frontier of financial innovation.
The American Wild West was defined by a gap: the frontier expanded faster and less predictably than governance could follow. Settlers staked claims, prospectors chased gold, and enterprising figures built fortunes in territory the law had not yet reached. Some struck it rich, many were ruined, and for a number of years, the frontier operated largely based on self-enforcement within local jurisdictions.
Recent financial innovation shows many of the same features, including the diversity of practices across countries. Stablecoins, decentralized finance, AI-driven trading, and the rapid growth of private credit represent a genuine frontier territory expanding faster than the regulatory apparatus. In some areas, we're beginning to see the first railroads and telegraphs: the GENIUS Act stablecoin framework, the BIS work on Project Agora, and the ECB's rollout of the digital euro. But the gaps in our understanding about the implications and what comes next are even larger than the blank spaces in the early settlers' maps.
So we have much to discuss over the next two days. What are the implications of these frontier innovations? How should policy navigate the tension between innovation and oversight, between opportunity and risk? What are the trade-offs from the different approaches being adopted by different countries? The stakes are huge. As the early settlers learned, some frontier experiments ended badly, while others built the prosperity we see in places like Jackson Hole today.
So, to get us started, I am delighted to welcome Kevin Warsh, Chair of the U.S. Federal Reserve Board, to provide opening remarks. I've known Kevin for about 25 years when we initially worked together in the White House. Kevin, even during those meetings many years ago, you were willing to push frontier thinking, and we look forward to hearing your thoughts on the latest developments in financial innovation and central banking. Kevin, come on up to the stage.
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Warsh, K. (2026, August 28). LIVE: Federal Reserve Chair Kevin Warsh Speaks at Jackson Hole | AF15 [Interview transcript]. DWS News. CEOInterviews.AI. https://ceointerviews.ai/interview/1272412/
MLA
Kevin Warsh. "LIVE: Federal Reserve Chair Kevin Warsh Speaks at Jackson Hole | AF15." DWS News, 28 Aug. 2026. Transcript, CEOInterviews.AI, https://ceointerviews.ai/interview/1272412/.
BibTeX
@misc{warsh2026_1272412,
author = {Kevin Warsh},
title = {LIVE: Federal Reserve Chair Kevin Warsh Speaks at Jackson Hole | AF15},
howpublished = {Interview transcript, DWS News. CEOInterviews.AI},
year = {2026},
month = {aug},
url = {https://ceointerviews.ai/interview/1272412/},
note = {Speaker-attributed transcript with timestamps}
}
