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Fed Independence at Risk
- President Trump's pressure on Fed Chair Jerome Powell raises significant concern about central bank independence.
- Unchecked political influence on monetary policy risks unanchoring inflation expectations and harming economic stability.
Tariffs' Huge Economic Toll
- Trump's tariffs could cut $2 trillion from global output by 2027, acting like a massive tax hike for the U.S.
- Fed independence may be compromised if the next Fed chief must align closely with Trump's policy preferences.
Tariffs Hit Japan's Investment
- U.S. tariffs dampen foreign investment appetite, potentially shrinking Japan's GDP by up to 1.2%.
- Tariffs are starting to negatively affect Japanese companies and their willingness to invest in the U.S.