🚨 Fed Drops \$15.5 Billion From Balance Sheet — Tensions Rise 🚨🚨

This week, the Federal Reserve trimmed its balance sheet by **\$15.5 billion**, but behind the numbers lies a storm of warnings from top Fed officials. Markets, brace yourselves — the calm is cracking.

Kashkari rings the alarm: business uncertainty is the biggest risk right now. Trade tariffs? They're fueling a dangerous mix of slow growth *and* rising prices — the dreaded stagflation. The longer tariffs stay, the bigger the threat.

Williams steps in: inflation is easing, *but slowly*. The labor market's balancing act continues, yet trade policy looms large as a destabilizing force. No rush on rate moves — the Fed is watching every data point like a hawk.

Goolsbee offers a glimmer of hope: if tariffs are avoided, rate cuts are possible. But legal battles over trade could drag out the fog of uncertainty.

Daley closes the round: the labor market is solid, inflation is cooling — but don’t expect 2% this year. Policy is steady *for now*, but the tariff wildcard could flip the table.

The message is loud: inflation isn't defeated, the labor market is steady but fragile, and trade wars could change everything. The Fed’s balance sheet is shrinking, but so is the room for error.

Watch the charts. Watch the headlines. The next Fed move might not just shift the markets — it could shake the economy.