US inflation is likely to rise rapidly under Mr. Trump, analysts at the Edmund Rothschild Group said in a note. The risk of trade tariffs and the threat of deporting undocumented migrant workers could drive US inflation higher. These factors could pose a challenge to the Fed's efforts to curb inflation. "As the impact of the Trump plan on inflation becomes clearer, the Fed may partially abandon the 100 basis point rate cut expected in its latest report," they said.