, Citigroup economist Andrew Hollenhorst believes that the U.S. suspension of so-called reciprocal tariffs on most trading partners does not mean that the U.S. economy has avoided a slowdown and rising inflation. The 10% Benchmark tariff, which remains in effect during the 90-day suspension of reciprocal tariffs, along with tariffs on specific industries, still raises the effective tariff rate in the U.S. by about 21 percentage points compared to the beginning of this year. Uncertainty in trade will persist. Citigroup still expects the Federal Reserve (FED) to cut interest rates in May or June.