Q to Powell in the Senate today: Why isn't the Fed willing to look through tariff-driven price increases? A: "As I said, a one-time [increase in the price level] could be the base case. But in a situation like this where the process could go on for a long time, where the effects could be large or small, it's just something you want to approach carefully—in a world where inflation is not back to 2%—and that's our job. If we make a mistake here, people will … pay the cost for a long time. And so we're just approaching the question carefully. That's all we're doing. You know that a majority of my committee has said that they do expect to cut rates between now and the end of the year, in the remaining four meetings. So it's not that we're taking a strong view that it will be inflation and not a cost increase. It's just that we're going to take a careful approach to that very critical question." https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-06-25-2025/card/powell-fed-must-consider-costs-of-being-wrong-on-inflation-cceQnFu3CLQYObid9TsX