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Morgan Stanley Warns Tariff Impact on Global Economy Still Unfolding

Morgan Stanley Warns Tariff Impact on Global Economy Still Unfolding
Morgan Stanley Warns Tariff Impact on Global Economy Still Unfolding

Morgan Stanley Warns Tariff Impact on Global Economy Still Unfolding

By Marie

Morgan Stanley analysts say the full economic impact of recent U.S. tariffs may not yet be visible, warning that inflation could rise in the coming months. In a note to clients, the firm stated, “It is simply premature, in our view, to expect inflation to have picked up meaningfully yet.”

The brokerage pointed out that while inflation data has remained relatively stable, the effects of tariffs especially those introduced in April may take several months to show up in consumer prices. Federal Reserve Chair Jerome Powell echoed this cautious stance in recent testimony, saying the central bank is “maintaining a wait-and-see approach” due to uncertainty around the tariffs’ long-term effects. Also Read: Ruud van Nistelrooy Leaves Leicester City

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