Fed’s Musalem Says Tariffs Will Likely Weigh on Growth, Jobs

Federal Reserve Bank of St. Louis President Alberto Musalem said tariffs will likely weigh on the US economy and weaken the labor market.

“Even after the de-escalation of May 12, they seem likely to have a significant impact on the near-term economic outlook,” Musalem said in prepared remarks for an event in Minneapolis on Tuesday. Earlier this month, the US and China announced they would significantly lower tariffs on one another for 90 days while officials work to negotiate a trade agreement.