Fed officials: If Trump's high tariffs cause unemployment to soar, they will support rate cuts

Christopher Waller, a governor of the U.S. Federal Reserve, warned on the same day that the trade war triggered by U.S. President Trump could soon lead to rising unemployment. It is reported that the current employment situation in the United States is at risk because other countries have imposed retaliatory tariffs on American goods. If foreign customers reduce orders, some U.S. export-reliant industries may be forced to lay off workers. Waller said if the tariffs remain as they are, there will be no noticeable impact on the U.S. economy before July. If the Trump administration returns to aggressive tariff levels, businesses could start laying off workers, and he would support rate cuts if unemployment rises sharply. Waller stressed that he expects more rate cuts to come soon if the labor market deteriorates significantly.