📈 Powell: Tariffs Are Driving Today’s Inflation Spike
After the latest Fed meeting, Chair Jerome Powell said the U.S. is overshooting its 2% inflation goal mainly because of President Trump’s recent import tax increases. According to Powell, the new tariffs caused a “one-time price increase” by raising the cost of imported goods. That means prices jumped when the tariffs took effect, but the inflation impact should fade over time.
Tariffs don’t just hit foreign companies — they raise costs for American businesses and consumers too, which is why they’re showing up in inflation data now.