by Joshua Gibson
FX Street
Federal Reserve (Fed) Board of Governors member Lisa D. Cook noted on Tuesday that although the US economy appears to be in a healthy place for the time being, the biggest economic threat to stability remains the Trump administration’s trade policies.
Key highlights
The Fed’s monetary policy is well-positioned for a range of scenarios.
Trade policies create risks for Fed inflation and job mandates.
Trade policy may make it harder to get inflation lower.
Cook sees evidence trade policy is now affecting the economy.