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Bessent says Fed under Warsh will keep eye on AI's impact on employment

BY Reuters | ECONOMIC | 02/10/26 10:24 AM EST

Feb 10 (Reuters) - The Federal Reserve under the leadership of Kevin Warsh, President Donald Trump's nominee for Fed ?chair, will be watching to ?ensure there's no "timing mismatch" on ?employment and productivity given ?rapid ?advances in artificial intelligence, U.S. Treasury Secretary ?Scott Bessent said ?on Tuesday.

Bessent, speaking on video, told an event ?hosted by Brazilian ?investment ?bank BTG Pactual that the U.S. would average 4.1% economic ?growth in the last three quarters of 2025, and predicted nominal GDP growth could reach 6% ?this ?year, without inflation.

Bessent said historically a productivity boom was accompanied ?by an employment boom, and the U.S. Fed would be watching that carefully "just to make sure that there's not ?a timing mismatch." (Reporting by Andrea Shalal in Washington and Marcela Ayres in Sao ?Paolo; Editing by Doina Chiacu)

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