Fed Chair Powell (Q&A), asked about tariff impact, is not certain that tariffs will be a one-time effect, not at all certain

Fed Chair Powell (Q&A), asked about tariff impact, is not certain that tariffs will be a one-time effect, not at all certain.

Fed Chair Powell's remarks introduce uncertainty regarding the long-term impact of tariffs on the economy. This becomes particularly relevant as it complicates the Fed's policy outlook, suggesting that inflation pressures could persist longer than previously anticipated. Market participants may react by reassessing rate paths and their implications across various asset classes, especially in FX and equities.