Fed chair says tariff impact on inflation hard to predict

In the U.S.

Federal Reserve Chair Jerome Powell says the inflationary impact of the Trump administration's tariffs is "very hard to predict."

Speaking at the Senate Banking Committee on Wednesday Powell said the impact of tariffs on prices could be larger or smaller than expected a risk that calls for prudence in policy-making.

His latest testimony followed earlier remarks at the House Financial Services Committee during which he reiterated the Fed's wait-and-see stance on rate cuts.

The central bank last week left its benchmark interest rate unchanged at 4-point-2-5 to 4-point-5 percent.