Powell Says Fed in No Hurry to Cut as Markets Continue to Swoon

Federal Reserve Chair Jerome Powell made clear the US central bank won’t rush to react to sweeping Trump administration tariffs, or to the financial market turmoil that has ensued amid fears of a global economic downturn.

Tariffs are likely to have a significant effect on the US economy, including slower growth and higher inflation, Powell said Friday at a conference in Virginia. But, he added, Fed officials will wait to gain more clarity on those policies before lowering interest rates.

He also emphasized that, with inflation still elevated, the central bank had an obligation to make sure a temporary price ...