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Companies Raise Prices, Cut Jobs as Tariff Policies Create Market Whiplash

  • On June 5, Atlanta Fed researchers published a blog post showing that businesses expect to pass roughly half of tariff costs to U.S. consumers.
  • This expectation follows an April 7-18 survey during which President Trump's 10% baseline tariffs and 25% auto tariffs were in effect, creating uncertainty.
  • The survey found firms facing stronger demand planned to pass on about 51.1% of a 10% tariff and 47.3% of a 25% tariff increase to prices.
  • The Fed's June 4 Beige Book indicated economic declines amid uncertainty, with several districts reporting stalled or reduced growth and cautious hiring.
  • These findings suggest firms now perceive greater consumer price sensitivity and face challenges in raising prices without reducing demand amid ongoing tariffs.
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  • 55% of the sources are Center
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Telemundo Miami (51) broke the news in on Wednesday, June 4, 2025.
Sources are mostly out of (0)