💨 Abstract

Federal Reserve Chair Jerome Powell testified before Congress, predicting that President Trump's tariffs will likely increase inflation in the coming months. He mentioned that consumers may bear some of the costs. Despite Trump's push for rate cuts, Powell suggested the Fed intends to observe inflation trends before taking action. Some Republican senators criticized Powell, accusing him of bias against the tariffs. Despite Trump's criticisms, inflation has remained relatively low, but economists expect it to rise due to the tariffs.

Courtesy: WTOP Staff