Mars Finance News: The epic tariffs imposed by the Trump administration on most imported goods may be beyond the Federal Reserve's ability to mitigate. Bill Dudley, the former "hawk" and former president of the New York Federal Reserve, warns that market expectations of more than 100 basis points of rate cuts this year are "naive" and can only be realized if the U.S. economy experiences a comprehensive recession. In the next six months, inflation may surge to 5%, and economic growth could be halved to 1%, putting the Federal Reserve in a dilemma of "rate hikes accelerating recession and rate cuts worsening inflation". Do not expect the Federal Reserve to save the U.S. economy dragged down by tariffs; the only question now is: how deep will the damage be. (Jinshi)
The former hawk of the Federal Reserve: It is too naive to expect a 100 basis point rate cut, and Powell will not clean up Trump's tariff mess
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