Tariffs Will Likely Raise Prices, Hurt Growth, Fed’s Powell Tells Congress

But the outcome will depend on the administration’s ‘ultimate level,’ Federal Reserve Chairman Jerome Powell said.

Federal Reserve Chairman Jerome Powell testifies during a hearing before the House Committee on Financial Services on Capitol Hill in Washington on June 24, 2025. Madalina Kilroy/The Epoch Times

Federal Reserve Chairman Jerome Powell on June 24 told lawmakers on Capitol Hill that tariffs will likely raise inflation and weigh on the U.S. economy.

Powell will deliver his semiannual monetary policy to Congress this week, emphasizing that economic activity is robust, employment conditions are solid, and inflation remains slightly above the institution’s 2 percent target.