A trade war ties the Fed’s hands by pushing up inflation at the same time that uncertainty is sapping growth.

Now, with the economy at a crossroads after President Donald Trump kicked off a trade war with his tariff announcement on April 2, investors are keen to hear from Fed Chair Powell, who spoke today in his first public remarks since the global tariffs were announced.

"While tariffs are highly likely to generate at least a temporary rise in inflation, it's also possible the effects will be more persistent," Powell told the audience at the Society for Advancing Business Editing and Writing conference in Washington, D.C.