The Federal Reserve is worried about the impact of President Donald Trump’s new tariffs on inflation and prices. If consumer prices rise significantly, it will be a challenge for those who want to combat inflation. The Fed officials are closely monitoring estimates of future price growth, which have increased sharply after Trump’s global tariff announcements.
Source: https://www.bloomberg.com/news/articles/2025-04-12/fed-s-deepest-tariff-fear-is-a-price-shock-that-won-t-fade-away