Fed’s Collins says Fed can be patient on rates amid tariff uncertainty

By Michael S. Derby

(Reuters) – Federal Reserve Bank of Boston President Susan Collins said Monday there’s no urgency for the central bank to lower rates right now, as new trade tariffs announced by the Trump Administration could drive up inflation pressures.

“It’s really appropriate for policy to be patient, careful, and there’s no urgency for making additional adjustments, especially given all of the uncertainty” in the economy, Collins said in a CNBC interview. She added, “the kind of broad-based tariffs that were announced over the weekend, one would expect to have an impact on prices” although it’s unclear how much and how the central bank would need to respond to that change in price pressures.

(Reporting by Michael S. Derby)