Trump's 'larger than expected' tariffs mean higher inflation, slower growth, Fed's Jerome Powell says

Open this photo in gallery: Federal Reserve Chairman Jerome Powell speaks in Washington, on March 19.Kevin Dietsch/Getty Images President Donald Trump's new tariffs are "larger than expected" and the economic fallout including higher inflation and slower growth likely will be as well, Federal Reserve Chair Jerome Powell said on Friday in remarks that pointed to the potentially difficult set of decisions ahead for the central bank. "We face a highly uncertain outlook with elevated risks of both higher unemployment and higher inflation," undermining both of the Fed's mandates of 2 per cent inflation and maximum employment, Powell said in prepared…