Minneapolis Federal Reserve President Neel Kashkari (pictured) warned that continued economic uncertainty could push the US economy into a downturn.

Speaking on CBS, he said that although a 90-day pause in tariffs may ease inflation pressures, the overall situation remains unclear. Kashkari noted that market instability could weaken both the economy and the labor market. He added that tariffs might still raise inflation, depending on how long they last.

"Uncertainty by itself is likely not going to create inflation, but it could slow the economy down," he said. The official also stated the bar to cut interest rates remains high, despite signs that businesses are already reducing hiring.