Kashkari Favors Maintaining Fed Rates Until More Tariff Clarity

Federal Reserve Bank of Minneapolis President Neel Kashkari doubled down on his case for caution amid uncertainty caused by the trade war and the “paramount” need to defend inflation expectations.

Speaking at a Bank of Japan event in Tokyo on Tuesday, he said there was a “healthy debate” among policymakers about whether to look through the inflation effect of US President Donald Trump’s tariffs as a transitory shock, or view it as a longer-lasting condition.