Federal Reserve Chair Jerome Powell's Insights on Tariffs

In a recent statement, Federal Reserve Chair Jerome Powell highlighted the growing impact of President Donald Trump's tariffs on consumer prices and inflation expectations. "Increased tariffs are pushing up prices in some categories of goods," Powell noted, emphasizing the direct effect on the economy.

Assessing the Economic Impact

Despite the observed trends, Powell cautioned that the "overall economic impact of tariffs remains to be seen." He pointed out that it's "too early" to fully understand the consequences of these levies on economic activity and inflation. "Retailers are paying most of this for now," he added, suggesting a slower-than-expected process.