Why the Fed Is Stuck Between Inflation and a Tariff War

Lucas and Luna break down the Federal Reserve's latest dilemma: core PCE holding at 2.8 percent while a new wave of tariffs from the Iran conflict pushes import prices higher. With the effective fed funds rate at 3.64 percent and the ten-year breakeven inflation rate rising to 2.40 percent, the hosts explain why the Fed can't cut rates without reigniting inflation, but can't hold tight without risking a growth slowdown. They walk through the specific mechanics of how tariffs feed into core inflation measures, why the bond market is starting to price in a longer pause, and what this means for the average consumer facing higher prices on everyday goods. A focused, data-driven look at the central bank's toughest policy call in years. #FederalReserve #Inflation #Tariffs #IranConflict #CorePCE #FedPolicy #InterestRates #BondMarket #ConsumerPrices #SupplyChain #MonetaryPolicy #EconomicOutlook #BreakevenInflation #FOMC #CentralBank #Economics #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo