The member of the Board of Governors of the Federal Reserve (FED), Michael Barr, spoke in the credit symposium for small companies of the Fed in New York on Thursday, pointing out that although the United States economy (US) maintains a solid posture according to the data, the dark clouds caused by the unbalanced commercial strategy of the Trump administration hinders that the Fed makes decisions.
The Baro de la Fed said that high tariffs expose US companies, particularly small businesses, significant downward risks. Barr stressed that the United States could be about to suffer from commercial shocks at the hands of the importation of import taxes of President Trump, and could rekindle inflation if supply chains are destabilized, or if companies begin to yield and fail under a rapid increase in unsustainable costs that push signatures to lack of profitability.
Key points
The United States economy is in a solid base with inflation by 2%, although commercial policies have cloudy perspectives.
A commercial shock could be particularly hard for small businesses and trigger price increases if supply chains are affected or companies fail.
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.
