On May 23, 2026, Kevin Walsh officially took the oath of office as the 17th Chair of the Federal Reserve, kicking off a new monetary policy cycle for the United States. On his first day in office, Walsh delivered an official public speech, clarifying that he will adhere to the Fed’s dual mandate of stabilizing inflation and maintaining full employment, and stick to a flexible and prudent monetary policy framework. Walsh pointed out in his speech that the current U.S. economy is facing a complex situation of resilient employment and lingering inflation pressure. The core task of the Fed’s subsequent policy is to continuously curb inflation while avoiding excessive policy tightening that may trigger economic cooling and employment pressure. He stressed that monetary policy adjustments will be based on real-time economic data, abandoning rigid fixed policy routes. At present, global financial markets have fully priced in a 25-basis-point interest rate hike by the Federal Reserve by the end of 2026. Unlike the previous aggressive hawkish stance, Walsh’s policy tone is relatively stable and moderate, which effectively eases market concerns about drastic policy tightening. Affected by the new policy signal, U.S. Treasury yields fluctuated slightly and remained stable, and the U.S. dollar index stopped its continuous rise. Global stock markets maintained a stable operation trend, and market risk appetite rebounded moderately. Market analysts believe that Walsh’s steady governance style will help reduce global monetary policy uncertainty. In the next stage, the market will focus on U.S. inflation and non-farm payroll data, and track the new Fed chair’s subsequent policy statements to judge the future direction of global liquidity and capital flows.