Warsh Caught Between Trump, Bond Market Bet on Rate Hikes

Just three weeks into the job, Federal Reserve Chairman Kevin Warsh is already facing an unusually high-stakes test. Inflation is roaring back at the fastest pace in three years.

There’s growing dissent among the central bank’s policymakers.

And investors have been dumping US Treasury bonds and piling into bets the Fed will need to start raising rates by December, defying President Trump’s call to lower them instead.

We look ahead to this week's FOMC decision with Rebecca Patterson, Senior Fellow at the Council on Foreign Relations & former Chief Investment Strategist at Bridgewater Associates. (Source: Bloomberg)