#PowellRemarks

Federal Reserve Chair Jerome Powell, speaking at the Economic Club of Chicago, highlighted concerns over President Trump's recent tariffs, which are larger than anticipated and could lead to higher inflation and slower growth. Powell emphasized that the Fed would maintain current interest rates while awaiting more clarity on the economic impact of these trade policies. He acknowledged the challenges of balancing the Fed's dual mandate of controlling inflation and maintaining employment, especially if tariffs push prices up while dampening growth. Despite market volatility, Powell noted that financial markets are functioning orderly, and the Fed remains cautious, monitoring data before making policy adjustments.