US stock markets fell sharply Friday after an economic report showed American consumers are growing increasingly fearful of price increases and how President Donald Trump’s tariffs could reignite the inflation crisis.

Taken together, the combination of increased concern about the effects of Trump’s economic proposals and heightened inflation are a warning sign for the new administration as it tries to deliver on its promise of broad tariffs on imported goods, tax cuts and mass deportations of immigrants.

Consumer sentiment plunged more than expected in February while households' inflation expectations amid uncertainty over the impact of President Trump's economic plans.

Bank of Canada Governor Tiff Macklem says underlying price pressures may be cooler than indicated by the central bank’s two preferred measures of core inflation.

By Promit Mukherjee and David Ljunggren OTTAWA, Feb 21 (Reuters) - he Bank of Canada's 2% inflation target should be maintained in a review set for 2026, Governor Tiff Macklem said on Friday, saying central bank needed to focus on risks such as the imposition of U.