NY Fed President John Williams reveals trade and tariff uncertainty as the No. 1 issue freezing business investment decisions

The Federal Reserve, like the rest of the world, maintains close monitoring of President Trump’s policies of trade and tariff – with one official warning that while the American economy is in a “good place”, the increasing uncertainty affects.

John C. Williams, President of Fox, “Thursday”: “I am talking to business leaders from small companies, intermediate companies and international companies. Uncertainty, especially uncertainty about customs tariffs and commercial policy, is the first topic.”

“It is very difficult, if you are a company, take long -term decisions on investment, new products and such things,” continued, “when you are completely sure of the environment shape.”

It seems that the American economy “stops” from effective business and investment decisions, according to Lilims, who indicated that the Federal Reserve is also awaiting “clarity” about global definitions and commercial restrictions.

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On Wednesday, investors went up to sell the USA’s shares after Federal Reserve Chairman Jerome Powell said that politicians would decrease anyway, because President Trump’s tariff, in his opinion, is greater than expected.

Will the Federal Reserve a temporary stopping price discounts in 2025? New York President John Williams is harmonious. (Getty Images)

“Chicago Ferris Boel has once noted,” Life is moving very quickly. “At the present time, we are in a good position to wait for more clarity before looking at any adjustments to our position on politics.”

“My point of view with inflation is 2 %, which we will return to, then we will return to it, then we will return to it [the] It is possible that the width of the longest range, which is a type of real neutral rate, somewhere about 3 quarters of, or some of them plus or incomplete, “Williams explained with Lawrence.

“Based on our latest data, it seems that inflation is working [at] About 2.3 percent. As you know, the economy grew very well last year, “it has expanded.” In my view, I think monetary policy is in a good position. I do not see any need to change the federal reserve money rate soon. “

However, the inability to predict economic can throw a key in federal reserve plans.

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“There is a lot of uncertainty about how the economy is operating this year,” Williams said. “What we see in the market pricing is a reflection of uncertainty about economic expectations and what will happen in inflation.”

“We’ll certainly get effects on prices and inflation this year of customs tariffs. This is what we have seen in the past. I think this is a large traditional point of view on how to photograph it. I think the big question that was not answered is, to what extent is inflation still high, for example, in 2026?

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Fox Business’ Suzanne O’Hallran has contributed to this report.