Fed’s Williams: Tariffs Threaten Inflation and Economic Growth

Federal Reserve official John Williams has warned that tariffs are likely to increase inflation and hinder economic growth. According to Odaily, he stated that the Fed’s current monetary policy is strategically positioned to mitigate these risks. This stance reflects a cautious approach as consumers might delay significant purchases such as homes or cars due to uncertainty about the future, while businesses may postpone investments until there is greater clarity on market conditions. This reduction in spending can lead to slower economic growth.