In latest remarks, Federal Reserve Chair Jerome Powell has raised concerns about the economic impact of the recently imposed tariffs under the Trump administration. Powell warned that these tariffs, which are more extensive than initially anticipated, could push inflation higher and slow down economic growth.Powell cautioned that they could persist, challenging the Fed's goal of maintaining price stability.
Powell emphasized that the Federal Reserve will take a cautious approach to monetary policy moving forward.These remarks have sparked widespread debate among economists and market watchers.
Overall, Powell’s comments highlight the Federal Reserve's careful balancing act between supporting economic growth and controlling inflation in an unpredictable global landscape.