Greenlight Capital Founder: tariffs will force Fed to cut rates further this year

April 11 (Bloomberg) -- David Einhorn, founder of hedge fund Greenlight Capital, says tariffs will force the Federal Reserve to act as Trump's higher-than-expected global tariffs alarm investors and cause markets to plummet, according to Golden 10.Einhorn, a veteran long/short equity manager, was Einhorn is a veteran long/short equity manager who was known for shorting Lehman Brothers before the 2008 financial crisis. He said the tariffs would ‘disproportionately’ affect low-income people and would have an inflationary impact, leading to a slowdown in the economy. He expects the Federal Reserve to cut interest rates more than the market expects.Einhorn said of tariffs, ‘They raise prices.’ ‘If you have tariffs, maybe suppliers have to pay some of it, maybe retailers have to pay some of it, but consumers have to pay some of it, too.’