#PowellRemarks Fed Chair Jerome Powell’s recent remarks have rattled markets, highlighting risks tied to new U.S.-China tariffs. Speaking in Chicago, Powell warned that the tariffs could drive consumer prices higher and slow economic growth—raising concerns of stagflation. He emphasized that such conditions could limit the Fed’s ability to cut rates, despite inflation running slightly above the 2% target. Powell reaffirmed a cautious stance, stating the Fed will wait for more data before adjusting policy. Markets reacted sharply: S&P 500 fell 2.2%, Nasdaq dropped 3.1%. Investors should brace for volatility as monetary policy remains uncertain.