August 6 - According to the Financial Times, Federal Reserve Chairman Warsh has maintained his typically concise communication style, even after triggering a significant sell-off in Treasuries by declining to reveal too many details about interest rate strategy. People close to Warsh said he acknowledged making some mistakes during his first 10 weeks at the helm of the world's most important central bank, including failing to reinforce his key message on price stability and causing confusion over whether his long-term plans to reform the Fed would affect near-term policy decisions. However, they insisted these errors were not enough to derail Warsh's plans for reforming the Fed. Insiders also revealed that if inflation data released in the coming weeks prove strong and market expectations for higher borrowing costs rise accordingly, Warsh is prepared to raise interest rates at the September meeting. Insiders added that although the Fed chairman has raised the possibility of shrinking the central bank's $6.7 trillion balance sheet to tighten monetary policy, interest rates remain the primary tool—and would be used at the upcoming meeting if needed.