PANews May 6 news, MFS Investment Management Chief Economist and Portfolio Manager Weissman said in a report that Federal Reserve Chairman Powell will almost certainly express a wait-and-see attitude at this week's meeting. The confusion of US tariff policy makes the future macroeconomic outlook particularly difficult to predict. The Fed will also note that tariff-induced inflation, even if theoretically viewed as temporary, may produce more persistent actual inflation. Therefore, the Fed will be reluctant to ease policy without clear signals that the economy is weakening substantially. In other words, in the absence of actual economic deterioration, the Fed may delay rate cuts if necessary.
The Fed will emphasize a wait-and-see stance
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