US Treasury secretary Janet Yellen warned the incoming Donald Trump administration against imposing sweeping tariffs, saying they would lead to higher inflation. Donald Trump, who is set to take office next month, has threatened steep tariffs on Canada, Mexico and China — important US trading partners.

The dollar index reduced some of its previous gains amid increasing probability that Fed would cut interest rates in its upcoming policy meet after the US Consumer Price Index (CPI) came broadly in line of expectations.

US Treasury Secretary Janet Yellen said on Tuesday she was worried that President-elect Donald J. Trump’s plans to levy broad import tariffs could derail progress in quelling inflation and raise costs for households and businesses.

Donald Trump said in his weekend “Meet the Press” interview with NBC’s Kristen Welker that he can’t guarantee his promised tariffs on key U.S. foreign trade partners won’t raise prices for American consumers.

US President-elect Donald Trump's proposals to impose sweeping tariffs on imports could counter earlier efforts to cool inflation, Treasury Secretary Janet Yellen said Tuesday, warning that consumer prices could rise.

New Labor Department data released Wednesday showed stubborn inflation continued, which could make it difficult for President-elect Donald Trump and his GOP allies to pass certain legislation they've planned.