New Delhi, June 22 -- Last Wednesday, the US Fed's newly minted chair Kevin Warsh showed an eagerly waiting and watching world that he is his own man, not his master's voice.

In a move that was widely anticipated, but nonetheless hugely reassuring for other central banks apprehensive of any hint of political influence, the US Federal Reserve held its policy (fed funds) rate unchanged at the first Federal Open Market Committee (FOMC) meeting chaired by Warsh.

No doubt, rising inflation in America had a great deal to do with the Fed's 12-member FOMC's unanimous decision to hold that rate at 3.5-3.75% for the fourth successive time. At 4.2% in May, inflation is already the highest since April 2023 and is likely to go higher before it begin...