Tariff Tensions Escalate Mounting Economic Risks in U.S. as Stagflation Worries Resurface

by Newsroom
Turkiye Today

The minutes from the U.S. Federal Reserve’s March 18–19 FOMC meeting, released Wednesday, revealed mounting concern among policymakers, who warned of growing threats to both job markets and economic stability—while inflation risks continue to rise, adding pressure to an already fragile outlook.

In line with expectations, the Fed had left the federal funds rate unchanged in the target range of 4.25% to 4.5%. However, the minutes reflected growing uncertainty about the broader economic outlook among policymakers.

Officials noted that inflation could rise further this year, primarily due to the impact of higher tariffs. Still, they emphasized that there is significant uncertainty surrounding both the scale and persistence of these inflationary pressures.

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