Fed's Neel Kashkari Calls For Rate Pause Amid Uncertainty Over Trump Tariffs And Inflation Risks
Minneapolis Federal Reserve Bank President Neel Kashkari called for maintaining current interest rates until greater clarity emerges on how President Donald Trump's tariff policies will impact inflation, signaling continued monetary policy caution amid trade tensions.
Speaking at a Bank of Japan conference in Tokyo on Tuesday, Kashkari warned against overlooking tariff-induced price shocks, emphasizing the Fed's 2% inflation target remains paramount after four years of elevated consumer prices.