A few takeaways from Warsh's first appearance before the House Financial Services Committee: 1. Warsh repeatedly defended his agenda by pointing to how the Fed had failed to restore price stability after 2022-23. He delivered a particularly pointed critique of the 2020 framework change: "The Fed changed its academic framework and its operational framework and it led to higher prices, which did more harm to the least well off among us than any policy that I could have imagined. That's why we have to reform it." (He has made this critique before, but it lands differently when it's being made by the chairman before a congressional committee). 2. Warsh suggested that current inflation might be more deeply embedded: "We cannot have a direct immediate effect on short-term particular prices at the grocery store and agricultural goods. But the job you gave us and the job we are resolute about accomplishing is to make sure that any short-term changes in particular prices don't broaden out. Don't change to a generalized change in the price level. Unfortunately, that's what's happened in the last 63 months.... The longer that prices have been above the inflation target, it's usually a bit harder to dislodge them and get them lower. Our job, my commitment to you is to take sticky prices and to unstick them." 3. Warsh suggested every Fed meeting should be live. "Over the coming period, I'm going to ask our colleagues and have a good family fight about the extent and timing in which we would need to deploy those" tools. He dismissed the June CPI as "one data point.... I don't want to overread or cherry-pick data. There might be some that look at this morning's data and say, 'Oh, mission accomplished. Everything is swell.' That is not my view."(Nick Timiraos)