IMF says US Will be Hardest Hit by Trump Tariffs

The International Monetary Fund, IMF, says the US is forecast to be hit the hardest among advanced economies due to the uncertainty caused by President Donald Trump’s tariffs.

On Tuesday, the IMF says growth in the US is now expected to be just 1.8 per cent this year. This is a significant drop from the IMF’s initial estimate of 2.7 per cent in January.

Meanwhile, US markets are rebounding following losses on Monday.

The markets have been rattled by Trump’s attack on the chairman of the US central bank, Jerome Powell. The president called Mr. Powell a major loser for not cutting interest rates.

Pressed on Trump’s comments, the IMF’s chief economist says it’s critical for central banks to remain independent and will do what’s necessary to bring inflation under control.