Federal Reserve officials on Wednesday pointed to the large policy uncertainty around tariffs and other issues arising from the early days of President Donald Trump's administration as among the top challenges in figuring out where to take U.

Mary C. Daly, the president of the Federal Reserve Bank of San Francisco, said the central bank needed to assess the “scope, magnitude and timing” of President Trump’s policies.

Federal Reserve officials take great pains not to comment on fiscal policy, but the looming threat from tariffs is forcing their hand.

Vice Chair of the U.S. Federal Reserve, Philip Jefferson, said on Wednesday that he’s in no rush to change the central bank’s policy rate. According to a Reuters report, the VC mentioned that the current policy is restrictive despite cutting rates by 100 basis points in late 2024.