By Ann Saphir (Reuters) -Cooler inflation last month leaves the door open for the Federal Reserve to resume cutting interest rates by mid-year, but the central bank remains worried that U.S. tariff hikes could rekindle price pressures,

This weaker inflation data increases the likelihood that the Fed may cut rates later this year to support growth. However, new trade tensions add uncertainty. Following the implementation of Trump’s steel and aluminum tariffs, the EU announced counter-tariffs on $28.3 billion worth of US goods starting in April.