Inflation

Newly minted Federal Reserve Chair Kevin Warsh will host his inaugural press conference on Wednesday. Bankers will be paying close attention to what he says — and how he says it.

Inflation continued to rise in May, bolstering the case for the Federal Reserve to keep its policy rate unchanged at next week's Federal Open Market Committee meeting. But the range of future monetary policy outcomes is wide, with all eyes on how newly installed Fed Chair Kevin Warsh navigates his new role.

Treasury Secretary Scott Bessent downplayed senators' concerns about higher costs for Americans, noting average yearly inflation is lower than during the pandemic, while also confirming acting Attorney General Todd Blanche's Tuesday claim that the administration will not move forward with a $1.8 billion "anti-weaponization fund."

A retrospective paper on the former Federal Reserve chair's tenure offers takeaways that speak directly to his successor's policy agenda.

Federal Reserve Vice Chair for Supervision Michelle Bowman said Friday that she believes price growth is still heading toward the central bank's 2% target when factoring out one-time shocks such as tariffs and elevated oil prices.

The Personal Consumer Expenditures price index climbed to nearly 4% in April, arguably making the Fed's interest rate less restrictive and further complicating the central bank's path toward future rate cuts.

The Federal Reserve Board governor is the latest Fed official to embrace the prospect of tighter monetary policy in response to rapidly rising prices that have taken hold in recent years.

Households are cutting back on spending and buying fewer big ticket items, according to a key consumer confidence report. Higher inflation expectations and recession concerns are driving the pullback.

An annual Federal Reserve survey of nearly 13,000 respondents found that households generally felt financially secure in 2025, though many cited rising prices as a lingering concern.

The Consumer Price Index for April showed consumer prices rising across all categories, including food and shelter costs, and up 3.8% year-over-year. Grocery prices rose 0.7% from the month prior.

The economy is already showing signs of stress from the oil crisis. How much longer will it last, and is there a red-line number that breaks the economy?

As gas prices surge, small businesses — particularly in agriculture and transportation — have struggled to keep up. For banks, this has brought a combination of short-term benefits and long-term concerns.

Federal Reserve Gov. Michael Barr said Tuesday that the U.S. energy sector is more insulated from shocks than Europe's, particularly in natural gas prices. However, he warned that the war is pushing up gasoline prices, which could spill over into other parts of the economy.

Presumptive Fed Chair Warsh isn't a fan of jawboning, but that is actually, exactly how the central bank gets its point across.

The Columbus, Ohio-based company added to its cash hoard as a cushion against any economic dislocation connected to the conflict in the Middle East. The move narrowed Huntington's expected net interest margin for 2026.

Economists and policy analysts say a prolonged disruption in the Strait of Hormuz — and uncertainty about the duration of the conflict — could drive up inflation and further weaken consumer sentiment, which could weigh on bank earnings.

Federal Reserve Gov. Christopher Waller said Friday that the length of time the Strait of Hormuz remains blocked will be a key factor in the longer-term inflation outlook — and, by extension, the Federal Reserve's monetary policy path.

The Cleveland company's merger-and-acquisition pipeline is bursting with deals, said CEO Chris Gorman, but geopolitical concerns are causing some clients to "slow-play" their transactions.

Federal Reserve Gov. Stephen Miran Thursday said that the Iran war and tariffs will not have long-term impacts on inflation, but did say he is reconsidering his rate cut outlook for the year.

After a strong first quarter, America's second-largest bank hailed the resilience of the U.S. consumer, but also forecast rising inflation in the near future.