According to online reports, Federal Reserve Kashkari said that considering the impact of tariffs on inflation, even if the economy begins to deteriorate, the Federal Reserve is unlikely to cut interest rates in the face of tariffs. Kashkari said Trump's tariffs were "much higher and broader than expected" and he expected them to reduce investment and economic growth and drive up inflation "at least in the short term." "Because of tariffs, obstacles to changing interest rates in some way have increased," Kashkari wrote. "Given the critical importance of keeping long-term inflation expectations stable, and the potential for tariffs to boost near-term inflation, the threshold for interest rate cuts is higher even in a weak economy and a likely rise in unemployment." He pointed out that recent indicators of inflation expectations have begun to rise and the United States 'experience of high inflation over the years are reasons why the Fed may not be able to ignore any tariff-driven price shocks. "Given the high inflation we have experienced in recent years and the risk of long-term inflation expectations getting out of control, I think our top priority must be to keep long-term inflation expectations stable," he said.