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Yellen says the United States has not lost control of inflation

File Photo: US Treasury Secretary Janet Yellen says US President Joe Biden will hold a meeting with business leaders and CEOs on debt restrictions at the White House in Washington, DC, on October 6, 2021.Reuters / Kevin Lamarck

October 24, 2021

Washington (Reuters)-US Treasury Secretary Janet Yellen said on Sunday that the United States has not lost control of inflation, and she expects inflation to return to normal by the second half of next year.

In an interview with CNN, Yellen said President Joe Biden’s spending on domestic infrastructure and buildback better packages would be allocated over the next decade, but did not say whether it would exacerbate inflation.

“I don’t think we’ll lose control of inflation,” Yellen said.

“On a 12-month basis, inflation will remain high next year because it’s already happening, but it’s expected to improve from mid to next year, by the second half of next year,” Yellen said.

Supply chain disruptions have plagued the United States and other countries as the economic resumption has spurred a surge in demand.

“I think these bottlenecks will disappear as the pandemic progresses further. As the situation improves, Americans will return to the workforce,” she said.

The Federal Reserve Board is currently near zero benchmark overnight rates until the economy returns to full employment, inflation reaches the central bank’s 2% target and moderately above that level for some time. I promised to keep it at the level. ..

(Report by Doina Chiacu and Michael Martina, edited by Mark Porter and Daniel Wallis)



Yellen says the United States has not lost control of inflation

Source link Yellen says the United States has not lost control of inflation

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