Fed Chair Kevin Warsh Highlights AI Capex Boom

Federal Reserve Chairman Kevin Warsh praised the surge in high-tech capital expenditure (capex), particularly in AI-related areas, as a driving force for future economic growth. He noted that while the exact timing and scale of AI's impact on supply remain uncertain, the current investment boom is laying the groundwork for future productivity gains. Warsh also emphasized the resilience of the U.S. economy, with solid growth, job gains, and consumer spending despite inflation remaining above the Fed's 2% goal.