What happens if the Fed holds fewer policy meetings

Federal Reserve chairman Kevin Warsh is considering cutting the number of rate-setting meetings the central bank holds each year, per Axios. If implemented, it would mark the biggest change to monetary policymaking processes in decades. Rather than eight annual rate-setting meetings—the standard since the nineteen eighties—the proposal would include six rate-setting meetings and two additional sessions on broader economic issues. The decision could come before the Fed's September gathering. The trade-off: while fewer rate-setting meetings would reduce the operational burden on staff, they'd also limit policymakers' routine opportunities to adjust interest rates as economic conditions warrant, potentially creating delays in policy response unless the Fed calls an emergency session.

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