Warsh's Jackson Hole Speech Delivered Useful Clarity on Fed's Framework

0517 GMT - While decidedly hawkish in tone, Federal Reserve Chairman Kevin Warsh's speech at Jackson Hole provided useful clarity on the central bank's framework, Nomura Asset Management International's Greg Gizzi says. PCE remains the Fed's preferred inflation measure, the 2% target is fixed and non-negotiable, and the policy rate remains the primary monetary tool, the head of fixed income and municipal bonds says. "The hawkish messaging was unmistakable, with the chairman stating he would be 'hard pressed to describe broad financial conditions as restrictive' and noting that credit and loan activity show little evidence of restraint." However, Warsh's rhetoric echoes previous press conferences and may not signal an imminent policy shift, Gizzi says.