Federal Reserve Policy Uncertainty

The Federal Reserve is considering halting quantitative tightening, which raises questions about potential moves towards quantitative easing. Officials express concerns over economic uncertainty, primarily attributed to tariffs and immigration policies tied to Trump, despite inflationary pressures. The contradictory stance of pausing QT while acknowledging risks of rising inflation has sparked skepticism among analysts. This inconsistency highlights a broader issue of trust in the Fed's ability to stabilize a seemingly turbulent economy.