Fed spokesperson: Tariffs become a key factor in whether and when the Fed resumes rate cuts

ChainCatcher reported that according to Jinshi, Nick Timiraos, the "Federal Reserve mouthpiece", pointed out that Trump's consideration of a bolder tariff policy may affect the Fed's decision-making. A key question is whether rising prices will stimulate public expectations of higher inflation, which will directly affect whether the Fed will resume interest rate cuts.

Looking back at 2019, Trump's trade war prompted the Fed to cut interest rates, but tariffs did not trigger significant inflation at the time. However, the Fed may respond differently this time because the United States has just experienced high inflation.

Experts predict that if tariffs are imposed, the Fed is expected to be more inclined to oppose and may maintain higher interest rates.