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Fed Chair nominee Warsh says outside of monetary policy, the Fed should work with the government and says that it's likely to happen going forward.

Warsh's statement about collaboration between the Fed and government indicates a potentially more integrated approach to economic policy that could impact future Fed decisions.

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Context

This statement may be interpreted as slightly dovish, as it suggests a focus on broader economic collaboration, which could influence market expectations regarding monetary policy direction. Market participants will likely assess how this could affect the rate path and reactions in the USD and fixed income markets.

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