Neel Kashkari, president of the Federal Reserve (FED) of Minneapolis, said in the program ‘Face the Nation’ of CBS on Sunday that the perspectives of recession derived from the commercial war of President Trump will be determined by if there are “rapid resolutions” to commercial uncertainties with the main commercial partners.
Kashkari said: “This is the biggest blow to the confidence that I can remember in the 10 years that I have been in the Fed, except in March 2020 when Covid hit for the first time.
“So when there is that kind of blow to trust, it can have great effects on the economy,” he added.
Additional quotes
“In many sectors, be it a 10%, 50%or 100%tariff, it has a dramatic effect on commercial flows and many of the people I hear here are quite worried.”
“In the Fed, our work is to maintain inflation under control so that the rate is not even higher.”
“Investors in the US and worldwide are trying to determine which is the new normality in America.”
“The markets are working, transactions are being made and so I anticipate that it will continue.”
Market reaction
At the time of writing, the American dollar index has risen 0.11% in the day, quoting 99.89.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
