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How Trump’s tariffs and tax cuts could weaken the Fed’s power to fight inflation

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President Trump is

 moving fast and breaking things — and is creating more chaos than progress in his wake. As a result, U.S. inflation and interest rates could become unmanageable, leaving the Federal Reserve unable to do its inflation-fighting job.

The Fed is holding the federal-funds rate steady while looking for signs that inflation is moving closer to 2%. The bond market, however, is betting that Trump’s policies will undercut central bank efforts.

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