All articles tagged with #trumpflation
A four-part inflation surge—Trumpflation from tariffs, Iran's energy disruption through the Strait of Hormuz, persistent core inflation, and AI-driven pricing pressures—threatens to stall the stock market's bull run, as higher rates from the Fed could weigh on valuations and slow AI-related growth.
Trump-era policy moves—global tariffs and the Iran situation—have pushed U.S. inflation to a three-year high, with core PCE rising even as oil retreats; the data suggest inflation pressures could keep the Fed on track for rate hikes, potentially cooling yet still challenging stock valuations.
With Kevin Warsh now at the Fed’s helm, the FOMC is expected to drop its easing bias and move toward a neutral stance at the June meeting, a subtle shift aimed at curbing inflation linked to Trump-era policy; while policymakers are anticipated to hold rates steady for now, the move could signal a higher-rate path and unsettle equity markets dependent on easy money.
With Kevin Warsh poised to lead the Fed, the FOMC is expected to move from an easing bias toward a neutral stance at the June 17 meeting, signaling room for potential rate hikes as inflation remains elevated, a shift that could unsettle stocks that have benefited from easy monetary policy.