
Jerome Powell, Chairman of the Federal Reserve
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What hurts the most is the occasional bone. Childhood sweethearts that move to another country. Early opportunities for investing in companies designing gaming graphics chips. Lower interest rates, if not tariffs.
On Tuesday, U.S. Federal Reserve Chairman Jerome Powell confirmed that tariffs (especially their unexpectedly large “scale”) were the main reason for the central bank since the year Cut it down in December.
Imagine it. We could have lived in a world where the Fed funds rate is 4% to 4.25%. If inflation drops below the Fed’s 2% target, the range may even be 3.75% to 4% Projections reduced twice in 2025.
Thought stings. But that might help to think that if U.S. President Donald Trump doesn’t charge partners penguinhis other policies could have driven a higher boost to inflation forecasts.
Remember how these three main indexes in the United States Rising and new records Wall Street expects tax cuts and looser corporate regulations after Trump’s election victory. Without the attenuation effects of tariffs, economic optimism could radiate into strong and higher inflation.
It’s best to play with the cards we deal with, rather than get stuck in the imaginary future.
What you need to know today
Tariffs keep U.S. interest rates high. Fed Chairman Jerome Powell said on Tuesday that the central bank will Interest rates are lower this year If it weren’t for Trump’s tariffs, this led to a “substantial increase” in inflation forecasts.
The S&P 500 index fell with record records. Tuesday, The index slipped 0.11%. Tesla Trump suggested Duge and shared a fall Check out the company’s subsidies. Asia-Pacific market fell primarily Wednesdaybut Singapore stocks set a record record.
Xpeng maintained steady sales in June. Electric car startups delivered 34,611 cars, For the eighth consecutive month Break 30,000 levels. Bit Still a market leader, Delivered more than 10 times Number of vehicles xpeng Have done it.
Trump’s big superstar screams through the Senate. Vice President JD Vance held the final, voted for seven votes, and issued the bill Back to the United States House Approval. While the bill would increase the deficit, some banks believe it would Let the U.S. economy shoot in the arm.
(Pro) Hedge funds are betting on Swiss francs. The move is part of “carrying trade”, a strategy in which investors borrow at a lower interest rate (in this case the franc) currency borrowed by investors at a lower interest rate (in this case the franc) Buy higher interest rates currency and the difference.
at last…
Israeli Army soldiers rode on the turret of the Merkava chariot.
Jack Guez | AFP | Getty Images