Goldman Sachs Analyzes Potential Impact Of Proposed Tariffs By Trump

According to BlockBeats, on November 27, Goldman Sachs released an analysis regarding the proposed tariffs by U.S. President-elect Donald Trump. The proposal suggests imposing a 25% tariff on goods imported from Canada and Mexico. This measure is projected to generate nearly $300 billion in revenue annually. However, it is also expected to lead to a 0.9% increase in core Personal Consumption Expenditures (PCE) inflation. Goldman Sachs' Chief Economist, Jan Hatzius, highlighted that such tariffs would significantly raise consumer prices. While the proposal might be a strategic move by Trump for negotiation purposes, its actual implementation remains uncertain. Despite this uncertainty, the market's expectations for a Federal Reserve interest rate cut have already begun to diminish.