Good morning from the Financial Times.
Today is Thursday, April 17th, and this is your FT News Briefing.
Donald Trump's tariffs are complicating the Federal Reserve's dual mandate,
and his trade policies aren't doing great things for the chip industry either.
But you know who's coming off pretty well in all of this?
Emerging markets, especially when you compare them to U.S. stocks.
It's interesting that the broader index is outperforming the S&P 500,
which we would not have expected going into the big terror reveal.
I'm Kasia Brasallian, and here's the news you need to start your day.
So about the Fed's dual mandate, the U.S. Central Bank has two goals,
keep inflation around 2% and maximize employment levels.
Will Fed Chair Jay Powell said yesterday that tariffs are making it difficult to meet both?
During a speech in Chicago, he warned that, just like Donald Trump's levies were larger than expected,
the same could end up being true about their economic effects.
For one, we could see a return of higher inflation.
That would put the U.S. Central Bank between a rock and a hard place.
It could raise interest rates to bring down prices,
but that would risk an economic slowdown, which would end up costing people their jobs.
U.S. stocks continued to slide as the Fed chair spoke.
The S&P 500 closed down a little more than 2%.