National Economic Council Director Kevin Hassett, a top economic advisor to Trump, on Monday rebuked concerns about tariff-related inflation. The Fed, Hassett told CNBC, has been "very, very wrong" in its assessment of a potential resurgence of price increases.

President Donald Trump recently issued a raft of new tariff threats, including steep rates on dozens of countries and a new duty on copper imports.

U.S. consumer prices likely picked up in June, potentially marking the start of a long-anticipated, tariff-induced increase in inflation that has left the Federal Reserve cautious about resuming its interest rate cuts.

Consumer inflation likely accelerated in June, as the Trump administration's tariffs start to push up prices. The Labor Department's consumer-price index for last month is due at 8:30 a.m. ET. Year-over-year inflation likely picked up to 2.

Economists have long been warning of a tariff-driven boost to US inflation. The next report on consumer prices will put their conviction to the test.

U.S. President Donald Trump said on Saturday he would impose 30% tariffs on most EU imports from August 1, though diplomats say there is still time to hammer out an agreement to prevent this. The Reuters Tariff Watch newsletter is your daily guide to the latest global trade and tariff news.

The European Union has decided to hold off on imposing retaliatory tariffs on U.S. goods that were set to begin Monday