The customs duties desired by US President Donald Trump will probably strengthen the inflationary pressure, even after the recent signs of de -escale with China, an official of the American Federal Reserve (FED) warned on Tuesday. “If we observe what is being prepared, the pressure on prices seems to be strengthening,” said the president of the Saint-Louis branch of the Fed, Alberto Musalem, during a speech in Minnesota (North). The US president imposed customs tasks at the age of 50 in early April of all April in all products that enter the United States, before taking them to the trail to 10%, for a period of 90 days, to give time to the conclusion of trade agreements.
But tensions have been strengthened with China, one of the main commercial partners in the United States, the two countries exceeded the emergence of surcharge through the other capital, to reach up to 145% in Chinese products. Donald Trump finally agreed in mid -May to carry these customs tasks to 30%, again for a period of 90 days, the time to find a long -term agreement on trade between the first two economic powers, which the US president considers particularly unbalanced.
Recent surveys conducted by the Fed in different activity sectors also suggest that more companies plan to increase their prices in the next six months, while consumers see inflation to a higher level in the future. “Even after the de -escalation initiated on May 12,” which allowed to reduce tensions between Washington and Beijing, “customs duties will have a significant impact on the short -term economic perspectives,” he added.
An American labor market that remains solid
However, Alberto Musalem generally remains sure of the state of the US economy, highlighting its “underlying force”, with a labor market that remains solid and inflation that, if it is still above the long -term objective of the Fed in the long term of 2%, leads him to think that the rates of the Central Bank are at an appropriate level.
The Fed left during its last meeting, on May 7 and 8, its unchanged fees, in a range between 4.25% and 4.50%, its level of the December meeting. The next meeting of its Monetary Policy Committee (FOMC) must be held on June 17 and 18 and analysts are planning new rates at their current level, according to the CME monitoring index, Fedwatch.
Source: BFM TV
