Inflation & Prices

Powell’s Got a Plan to Assess Tariff Inflation. It’s Not Easy

Jerome Powell has said Fed staff are modeling a range of possible outcomes from tariffs, which generally assume full retaliation from US trading partners.

Photographer: Al Drago/Bloomberg
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When it comes to the crucial task of gauging the impact of tariffs on inflation, Federal Reserve Chair Jerome Powell has a game plan: Separate the signal from the noise.

The sheer scale and scope of President Donald Trump’s sweeping global levies has made the already difficult task more challenging — and more consequential.