More Jobs, Faster Growth and Now, the Threat of a Trade War
Supported by Economy More Jobs, Faster Growth and Now, the Threat of a Trade War Photo Jerome H. Powell, the new Federal Reserve chairman, on Friday visited a Chicago incubator for industrial start-ups, highlighting the role of manufacturing in the recovery. Credit Lyndon French for The New York Times The rapidly escalating trade conflict with China has upended the prevailing economic dynamic of falling unemployment and faster growth, leaving policymakers and investors scrambling to figure out the way forward.
The threat of a trade war loomed over Jerome H. Powell’s inaugural speech as Federal Reserve chairman on Friday in Chicago, even as he tried to focus attention on the fundamental strength of the American economy. Financial markets fell Friday morning after President Trump’s latest salvo against China, then tumbled further after Mr. Powell indicated that the Fed saw no imminent need to adjust its outlook. The Standard & Poor’s 500-stock index ended the day down 2.2 percent, c..