#PowellRemarks

Federal Reserve Chair Jerome Powell delivered a stark warning about the impact of Trump's tariffs on inflation, stating that prices are already rising and the effects are only just beginning. Powell emphasized that US consumers will ultimately bear the brunt of the costs as businesses pass on the expenses throughout the supply chain. Despite inflationary pressures, the Fed held interest rates steady at 4.25%-4.5% and projected two potential rate cuts in 2025, but Powell cautioned that these projections are uncertain. The US economy currently remains strong, but Powell's remarks suggest that the calm may not last due to the inflationary impact of tariffs.