#TrumpTariffs

US Fed vice chair warns of inflationary impulse from tariffs

"Tariff announcements and heightened uncertainty about government policies in general are the dominant economic developments of more recent weeks and have caused me to look carefully at my forecasts," Fed Vice Chair Philip Jefferson told a conference in New York, according to prepared remarks.

Noting the "supply chain disruptions related to trade policy changes," and "high" uncertainty, Jefferson said he has cut his growth forecast for 2025, but still expects growth to remain positive.

Jefferson is one of 12 voting members on the Fed's rate-setting committee, which has its next meeting in June.