President Donald Trump‘s trade policy has unleashed a wave of uncertainty across the economy. Economists widely expect the expansive tariffs to boost inflation and weigh on growth. That would pit policymakers’ two goals—price stability and maximum employment—against one another.

The Federal Reserve is set to hold interest rates steady and hint it's in no hurry to cut as tariffs threaten to heat up inflation amid solid economy

The Federal Reserve opted to leave interest rates unchanged on Wednesday, citing heightened risks of rising inflation and slowing growth, which have prompted renewed warnings about stagflation. The decision came at the close of the Federal Open Market Committee's meeting.