0520 GMT - Goldman Sachs sees some upside risks to rates volatility around Federal Reserve FOMC meetings initially as a new communication standard is set and the market gets accustomed to it, analyst Friedrich Schaper says in a note. "New Fed Chair Warsh has argued against providing too much guidance to markets, raising concern that reduced Fed communication will lead to greater rate market volatility," the analyst says. Goldman Sachs finds greater evidence that the initial shift towards more transparency around decisions in the mid-2000s was a more significant factor behind improved accuracy of market pricing than the introduction of the SEP [Summary of Economic Projections] and press conferences, he says. Schaper adds that lower uncertainty also tends to lower term premia and reduces borrowing costs. (emese.bartha@wsj.com)

(END) Dow Jones Newswires

June 11, 2026 01:20 ET (05:20 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.