Former Vice Chairman of the Federal Reserve: The market may underestimate the potential for inflation to cool this year

ChainCatcher news, according to Jinshi reports, former Federal Reserve Vice Chairman and current Pimco Global Economic Advisor Clarida wrote an article reviewing his experiences during Trump's first term from 2018 to 2019, and analyzed the challenges the Federal Reserve may face in 2025.

Although inflation expectations currently appear stable, tariff policies may fall short of expectations and their uncertainty could pose a drag on economic growth, potentially leading to an unexpected significant decline in inflation, which in turn would affect monetary policy decisions.