Bloomberg Businessweek Weekend: July 31st 2026

**SPEAKER_1** (0:00)
This is Bloomberg Businessweek Daily, reporting from the magazine that helps global leaders stay ahead, with insight on the people, companies, and trends shaping today's complex economy. Plus, global business, finance, and tech news as it happens. Bloomberg Businessweek Daily with Carol Massar and Tim Stenovec on Bloomberg Radio.

**Carol Massar** (0:23)
Hi, everyone. Welcome to the weekend edition of Bloomberg Businessweek.
It was the fifth FOMC meeting and decision of the year that happened this past week. It was the second for the still new Fed chair, I think it's safe to say, Kevin Warsh. A fractured nine to three Fed vote that left rates unchanged. Dallas Fed President Lori Logan, Cleveland's Beth Hammack, Minneapolis Fed Chief Neil Khashoggi, they all dissented in favor of raising interest rates here in the US by a quarter percentage point. As for Chairman Warsh, he emphasized his commitment to tackling inflation.

**Kevin Warsh** (0:56)
We understand that the five plus years of inflation above target cannot be cured in nine weeks or by a single month of modest price decreases. This Fed will not waver.
Our credibility rests on performing our duties and delivering on our responsibilities.

**Carol Massar** (1:17)
Meantime, the conflict between the United States and Iran looks set to drag on with the different sides unable to break a deadlock over the Strait of Hormuz. And reports of a tax resuming.

**Tim Stenovec** (1:27)
Plus, it was a big week for big tech, including earnings from four of the MAG7, all with trillion dollar plus valuations and all closely watched for the AI trade and spend.
On top of that, we also had an IPO with Jersey Mike's making its trading debut on Thursday. So yes, a busy summer week to wrap up the month of July.

**Carol Massar** (1:45)
Plus, how crypto is rewiring financial infrastructure from our Bloomberg Intelligence analyst who argues that the pipes underneath finance are being rebuilt for the first time in about 40 years. That analyst joining us a little later on.

**Tim Stenovec** (1:58)
And from maybe some digital vaults that hold cryptos to some physical sellers that hold real bottles of wine.

**Carol Massar** (2:06)
Love that.

**Tim Stenovec** (2:07)
We sit down with Claudia Chamberlain, Advanced sommelier and US General Manager at the Wine and Spirits Merchant Barry Brothers and Rudd on the emerging role of the Luxury Advisor in fine wine investment and collecting.

**Carol Massar** (2:19)
All of that to come. But first, more from Wednesday's Fed decision. The message from the bond market was pretty clear for all of Federal Reserve Chairman Kevin Warsh's tough talk about taming inflation.
He is not rushing fast enough to deliver. What he did deliver in his press conference was a lot of, well, here's more from the Fed chair.

**Kevin Warsh** (2:37)
Nominal and real yields are materially higher across the Treasury curve. In fact, some of the increases in market interest rates between FOMC meetings are among the most significant in the last two decades. We need to observe market reaction to developments, direct and unfiltered. I want to stress, of course, that decisions by this committee matter a great deal.
And where necessary and appropriate, we will not hesitate to act. Monetary policy matters not just by what we say, or even what we do. Monetary policy matters by how it affects the real economy. And these prices that we see in financial markets is one of the many ways in which it affects the real economy. Yeah, so I'm going to let the, I'll let the dissenters speak for themselves.
The way I heard it over the last two days was overwhelming agreement on objectives and authority and commitment.

**Carol Massar** (3:42)
All right, that of course is Fed chair Kevin Warsh at the Fed. Monetary policy matters not just by what we say or even what we do. So what did he say? What did he do?
That's what we want to kind of get to. Let's get to it with Stuart Paul. He's Bloomberg Economics, US and Canada economist on set with us right here at Bloomberg headquarters in New York City. Ira Jersey out there at our Bloomberg Princeton Bureau, Bloomberg Intelligence Chief US Interest Rate Strategist. So Stuart, Ira, I put this pose this question to you both. Are we overreacting? Is this a new version of Greenspan speak? We know the iconic Fed chair. He often intentionally used vague, highly technical, ambiguous language when talking about or asked about monetary policy and you had to read between the lines. So is this, let me start with you Stuart. Is Kevin Warsh doing the same thing or is he just kind of new on the job finding his way?

**Stuart Paul** (4:31)