In the United States, Federal Reserve Chair Kevin Warsh testified before the House Financial Services Committee regarding the central bank's semi-annual monetary policy report. This marked Warsh's first appearance in Congress since taking over the role on May 22, 2026. During his testimony, he highlighted the Fed's strong stance against persistently high inflation, stating that the committee has 'no tolerance' for it. Warsh's comments come amid a divided rate-setting committee, with half of the policymakers advocating for interest rate increases by the end of the year, while the other half prefers to maintain or lower rates. The recent inflation data showed a slight decrease in core inflation, which rose by 2.6% in June compared to the previous year, down from 2.9% in May. However, Warsh cautioned against viewing this as a sign that inflation has been defeated, emphasizing that the Fed is closely monitoring economic indicators and remains committed to restoring price stability. The ongoing conflict in the Middle East, particularly the Iran war, has contributed to rising oil prices, which could impact inflation trends in the coming months. Warsh's approach reflects a desire to avoid locking the Fed into a specific policy direction, as he refrained from providing a forecast during his testimony. The Fed's independence was also underscored by a recent Supreme Court decision allowing Fed Governor Lisa Cook to remain on the board, reinforcing the central bank's autonomy in its decision-making processes.