Fed Chairman Kevin Warsh’s recent semiannual testimony underscored a hawkish tilt, stressing “no tolerance” for elevated inflation, a potential policy “regime change,” and the Fed’s independence from political pressure amid questions about Trump administration influence. Traders are monitoring how these themes translate into July communications, particularly any signals on rate path adjustments given sticky CPI readings, resilient labor market data, and the balance sheet trajectory. Upcoming FOMC decisions and fresh inflation or payrolls releases could shift market-implied odds by clarifying whether Warsh maintains his data-dependent stance or leans toward earlier tightening. His emphasis on AI-driven investment and streamlined regulation also frames expectations for forward guidance.