Kevin Warsh floated plenty of ideas for how he would run the Federal Reserve during his campaign for the job as chair. For Wall Street, few are as cryptic — or potentially consequential — as his call for a new accord with the Treasury Department.
Warsh has voiced support for overhauling the relationship between the two institutions with a new version of an agreement struck in 1951.
That pact had dramatically limited the Fed’s footprint in the bond market — something that’s not true today, after trillions of dollars of securities purchases during the global financial and Covid crises. So ...
