- Federal Reserve highlights inflation risks from increased tariffs.
- Concerns grow over slow economic growth.
- Research funding cuts impact STEM jobs.
Federal Reserve Chairman Jerome Powell addressed economic concerns at the Business Journalists Conference on April 4, 2025, indicating extended inflation due to tariff hikes.
The Federal Reserve’s inflation warning underscores the challenge of balancing growth and prices amidst policy uncertainties.
Inflation Risk From Tariff Hikes Intensifies
Increased tariffs could steeply elevate inflation, as indicated by Jerome Powell, the Federal Reserve Chairman. His comments suggest prolonged economic effects beyond initial expectations. Powell stated, “While uncertainty remains elevated, it is now becoming clear that the tariff increases will be significantly larger than expected. The same is likely to be true of the economic effects, which will include higher inflation and slower growth.”
The immediate aftermath could see slower growth due to anticipated persistence in inflationary pressures. These developments could influence monetary policy shifts. The Treasury’s recent economic initiatives could play a significant role in addressing these issues, as detailed in their latest press release.
Powell’s warning has sparked responses from economists, with concerns over fiscal policies impacting sectors, including crypto. Government agencies and market players remain attentive to further updates.
Current Market Responses and Historical Echoes
Did you know? In 2018-2019, U.S. trade disputes caused similar inflation spikes, though the new 2025 tariffs are considered more extensive, posing additional economic challenges.
According to CoinMarketCap, Bitcoin (BTC) is currently valued at $83,952.11. Its market cap is $1.67 trillion, while it holds a market dominance of 63.18%. Over the past 24 hours, Bitcoin’s price saw a minor decline of 0.11%. Recent months show varied performance: a 1.98% increase over seven days, a 0.68% decrease over 30 days, and a 14.00% decrease over 60 days.
Insights from the Coincu research team suggest regulatory clarity could bolster crypto markets, although extended inflation could impact investment decisions. Historical trends align with these challenges, echoing broader macroeconomic implications for the industry. For more on market trends and analysis, consider the updates from .
Source: https://coincu.com/332595-powell-tariff-inflation-warning/