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Federal reserve Politics creators have marked the potential impact of shifts of business policy, such as higher tariffs that contribute to concern for high inflation in minutes since their last meeting.
Entries published on Wednesday from the Federal Committee for the Open Market (FOMC) in January showed that politicians' creators “generally pointed to the risks up in Inflationary outlook”
“In particular, the participants quoted the possible impacts of potential changes in business and immigration policy, the potential of geopolitical development to disrupt supplier chains or stronger than expected household expenditures,” Fed said.
The Fed said that although they still see inflation decreases towards the 2% of the target rate of the central bank, “other factors have been cited that have the potential to prevent the process of disinfecting”, including higher costs resulting from potential tariffs.
Tarifs could take into account the Fed's plans in concern for inflation, experts say
Fed Chairman Jerome Powell and Central Bank creators held their last interest rate meeting. (Al Drago / Bloomberg via Getty / Getty images)
“Business contacts in a row [Federal Reserve] The districts indicated that companies would try consumers Higher input costs resulting from potential tariffs, ”said the minutes.
Since the last Fed meeting, the President Donald Trump It has expanded its tariff plans to include 10% of tariffs to Chinese goods and 25% of steel and aluminum tariffs.
He also delayed the implementation of 25% of tariffs for imports from Mexico and Canada until next month and signaled plans to 25% or higher tariffs for cars, semiconductors and pharmaceutical products.
Inflation rises by 3% in January, warmer than expected
Tarifs are taxes from imported goods. Businesses can hand over the costs of higher consumer tariffs. (Photos Mike Blake / Reuters / Reuters)
Fed The Talists also noted that basic inflation has not slowed down as much as expected in 2024, which is associated with potential changes in business policy and tariffs, creating potential for higher inflation.
“The risks around the basic line of inflation were considered beveled up, because basic inflation was not dropped as expected in 2024, and since trade policy changes could put more pressure on inflation than employees,” said the records.
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Reuters contributed to this report.
