Federal Reserve Warns of Potential Job Losses Due to Trade War

According to Odaily, Federal Reserve Board member Christopher Waller has issued a warning that the trade war initiated by U.S. President Donald Trump could soon lead to an increase in unemployment rates. The current employment situation in the United States is at risk due to retaliatory tariffs imposed by other countries on American goods. If foreign clients reduce their orders, some U.S. industries reliant on exports may be forced to lay off workers. Waller noted that if tariffs remain unchanged, there will be no significant impact on the U.S. economy before July. However, if the Trump administration reinstates aggressive tariff levels, businesses might begin layoffs, and he would support interest rate cuts if unemployment rises sharply. Waller emphasized that should the labor market deteriorate significantly, he anticipates more rate cuts in the near future.