United States Federal Reserve Chair Jerome Powell stated on Wednesday that inflation expectations have risen recently, with tariffs playing a significant role.
Speaking at the FOMC press conference, Powell noted that while inflation expectations have risen, it is "going to be difficult" to understand "how much is coming from tariffs." Nevertheless, he emphasized that the Fed is well-positioned to wait for better clarity before making further moves.
He added that the labor market remains strong and is not a primary source of inflationary pressure. However, with shifting trade, immigration, and fiscal policies, the full economic impact remains doubtful.
