Federal Reserve Chair Jerome Powell weighed in on President Donald Trump’s trade policy in an interview released Thursday.
Powell said the eventual result of Trump’s tariffs and increased protectionism remains unclear.
But he offered support for lower trade barriers in general.
Powell also referenced a worst-case scenario in which tariffs drive up prices for consumers while also hurting the economy overall.
Federal Reserve Chair Jerome Powell, in an interview published Thursday, suggested he isn’t sure how President Donald Trump’s trade battles are going to turn out.
But Powell told Marketplace’s Kai Ryssdal that business contacts across the US have raised alarm about Trump’s trade policy to the 12 Federal Reserve branches.
“And we are hearing a rising level of concern about the effects of changes in trade policy,” Powell said.
Recent reports from the 12 Fed branches reflect Powell’s statements. Manufacturers in both the Kansas City Fed’s and the Dallas Fed’s most recent manufacturing surveys showed growing anxiety among businesses about Trump’s steel and aluminum tariffs. In the latest Federal Open Markets Committee meeting minutes, a slew of members relayed concerns.
In the interview, Powell declined to forecast the exact economic effects of Trump’s recent tariffs, but he did express support for lower trade barriers in …read more
Source:: Businessinsider – Politics