["The 'Fed's Mouthpiece': How Walsh Explains Inflation Will Determine His Path"] Odaily Planet Daily News – According to Nick Timiraos, a journalist at *The Wall Street Journal* known as the "Fed's Mouthpiece," his latest article analyzes that Federal Reserve Chair Kevin Walsh will face a critical question during his first major speech this week at Jackson Hole: Is the persistently high U.S. inflation caused by one-off shocks such as tariffs and wars, or is the economy itself still overheating? This judgment will directly determine the direction of interest rates and represents the biggest internal divide within the Fed at present. At the July meeting, three officials already supported raising interest rates, while other officials have hinted at the possibility of further tightening policies. Walsh, however, has consistently refrained from making a clear statement. Since taking office, he has deliberately reduced policy guidance, and now both the market and his colleagues at the Fed are waiting for him to systematically explain his views for the first time. The key to Walsh's tenure ultimately hinges on how he interprets why his predecessor's policies failed to bring inflation back to 2%. If the policies of the past two years—cutting interest rates and supporting employment—were fundamentally flawed because the labor market was actually stronger than the Fed had assessed, then Walsh would need to push for reversing rate cuts. However, this would conflict with the stance previously advocated by Trump and Besent, who had called for further rate cuts.