Federal Reserve's Barkin: Not All Companies Can Raise Prices Due to Tariffs

According to a report by Jinse Finance, Federal Reserve's Barkin stated that not all companies can raise prices to offset tariff costs, warning that after years of inflation, consumer tolerance is very low. "What I'm hearing from retailers is that consumers are strapped for cash," Barkin said. "This means passing prices on to consumers is not as easy as you might think." Barkin still believes the U.S. economy is in good shape. He added that consumer spending and business investment remain solid. He noted that although consumer confidence indicators are noticeably weak, this has not yet dragged down spending. Barkin said he is considering whether tariffs will slow economic growth to the extent of curbing inflation. He mentioned that this was the experience in 2008, but there were other times when it did not happen.