Insights

U.S. equity markets are at record levels, supported by resilient corporate earnings and investors looking past geopolitical risks in the Middle East. However, a widening gap is emerging between asset prices and underlying economic conditions.

A new era is at hand at the Fed with Kevin Warsh poised to become the next chair. We look at how this may affect monetary policy ahead and point out that the days when the chair held outsized influence over the institution may be a thing of the past.