From Alan Greenspan to Kevin Warsh

On Monetary Philosophy, Market Discipline, and the Return of Uncertainty

Alan Greenspan’s passing marks the end of one of the most influential chapters in modern monetary history. Whether you admired him or blamed him for the excesses that followed, there is no denying that he fundamentally changed the relationship between central banks and financial markets.

As a young macro trader, I grew up watching Greenspan command almost mythical authority over investors. Today, with Kevin Warsh attempting to redefine the Federal Reserve’s relationship with markets once again, his legacy feels more relevant than ever.

Macro D is not writing an obituary. It is a reflection on what made Greenspan different, why his philosophy still matters, where he ultimately got it wrong, and why the Fed’s quiet move away from forward guidance may represent the most significant shift in central banking since his era.