Overview

• Federal Reserve Chair Jerome Powell warned that President Trump's newly announced tariffs are likely to drive inflation higher and slow economic growth.
• Powell emphasized the uncertainty surrounding the magnitude and duration of the tariffs' economic effects, cautioning that impacts could be larger than initially expected.
• JP Morgan has raised its recession outlook to 60% following the tariff announcement, reflecting heightened economic risks.
• Major stock indices, including the Nasdaq, S&P, and Dow, have experienced steep declines over the past week as market volatility increases.
• The Federal Reserve remains cautious on adjusting interest rates, balancing inflation concerns with the broader economic instability caused by the tariffs.