Fox Business Gerri Willis correspondent reports on the impact of tariffs on houses and breaks the latest housing data.
Federal reserves Politics donors have noticed the potential impact of changes in trade policy such as major tariffs that contribute to concern about high inflation in the records than their latest meeting.
Records published on Wednesday from a meeting of the Federal Committee for the Open Market (FOMC) showed in January that policy creators “generally indicated a risk increase in the prospect of inflation. “
“In particular, participants have cited the possible effects of potential changes in trade and immigration policies, the potential for geopolitical development to disrupt chains of supply or stronger household consumption,” the Feda List.
Fed said that although the inflation is still decreasing according to the targeted central bank rate, “other factors that have the potential to interfere with the disinflation process,” including higher costs that result from potential tariffs.
Fed Jerome Powell and Central Bank policy creators held interest rates stable at their latest meeting. (Al Drago / Bloomberg via Getty Images / Getty Images)
“Business contacts in numerous [Federal Reserve] The environments indicated that companies would try transfer to consumers Higher input costs stem from potential tariffs, “the record states.
From the latest meeting of the Fed, the President Donald Trump He expanded his tariff plans to include 10% of tariffs on Chinese goods and 25% of steel and aluminum tariffs.
He also delayed the implementation of 25% of the imports of imports from Mexico and Canada by the least next month, and signaled plans for 25% or larger cars, semiconductors and pharmaceutical products.
Inflation increases in January by 3%, warmer than expected
Tariffs are taxes on imported goods. Companies can transfer costs from higher tariffs to consumers. (Mike Blake / Reuters / Reuters Photos)
The FED policy creators also noticed that core inflation did not slow down as much as it was scheduled in 2024, which is combined with potential changes to trade policy and tariffs, create potential for greater inflation.
“Risks about the initial value for inflation were considered distorted to progress, because the core inflation did not fall as expected as expected in 2024 and because changes in trade policy could exert more pressure on inflation than the staff took over,” said the record .
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Reuters contributed to this report.
