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Where will tariffs and inflation stand a year from now? Fitch's chief economist outlines a worrisome prediction

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A top economist lays out the economic fallout from Trump's tariff war.
The article from Fortune discusses Fitch Ratings' analysis on the potential economic impacts of U.S. tariffs on Chinese imports. According to Fitch, the tariffs could lead to higher inflation and slower GDP growth in the U.S. The report suggests that while the direct impact of the tariffs might be limited, the indirect effects through increased costs and potential retaliatory measures from China could be more significant. Fitch predicts a modest increase in U.S. inflation by 0.1 to 0.2 percentage points and a reduction in GDP growth by 0.1 percentage points in 2022 due to the tariffs. The analysis also considers the broader context of global trade tensions and their potential to disrupt economic stability.

Read the Full Fortune Article at:
[ https://fortune.com/article/tariffs-trade-inflation-gdp-fitch-predictions/ ]