Fed, Inflation and Jefferson
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18m
Explícame on MSNDespite inflation data, Trump's tariffs are still expected to affect the economyRecent inflation data shows a moderate increase, yet economists warn that Trump's tariffs could still impact the U.S. economy. With the Consumer Price Index rising by 0.2% in April, the Federal Reserve may pause interest rate cuts.
The Federal Reserve opted to leave interest rates unchanged on Wednesday, citing heightened risks of rising inflation and slowing growth, which have prompted renewed warnings about stagflation.
Tamer-than-expected inflation and a significant de-escalation of a U.S.-China trade war are easing fears of a sharp squeeze on American households and businesses in coming months, prompting Wall Street firms to pare predictions of a recession and giving the Federal Reserve room to leave interest rates where they are.
According to the Bureau of Labor Statistics, the headline figure for the Consumer Price Index was at 2.3% year-over-year, down from 2.4% in March and lower than the expected 2.4% growth.