“There are going to be tariffs on Tuesday on Mexico and Canada. Exactly what they are, we’re going to leave that for the president and his team to negotiate.”
Targeted countries vow to hit back, and analysts predict “a significant supply shock” to the U.S. economy resulting in 1.2% lower GDP and 0.7% higher inflation.
Ports are reopening today, as the longshoremen's union agreed with terminal operators and shipping liners to extend their previous contract through January 15.
Some Republican lawmakers insist that the limit will be raised and the U.S. government will not default on its debt. Others seem to be considering alternatives that Powell considers to not be viable.
Shortly after economic adviser Larry Kudlow said the White House had “ruled out any currency intervention,” the president directly disputed this claim.
Sanctions and troop cuts could result from Germany's continued forward movement on the Nord Stream 2 pipeline to bring Russian natural gas into the EU.