US Treasury Secretary, Janet Yellen confirmed this Sunday that she does not think inflation will “lose control” in the countryAlthough he admitted that he expects prices to remain high until the middle of next year.
This is what Yellen pointed out in an interview on the series CNN When asked about Growing concern about persistent inflation, which is fueled by global supply problems.
“I don’t think we will lose control of inflation”She said the first woman to head the Treasury Department in the history of the United States.
As we move through the pandemic, I hope these bottlenecks will subside. Americans will return to the workforce as conditions improve
Yellen stressed that The annual inflation rate “will remain high next year because of what has already happened.”But he confirmed that he was waiting “Improved in the second half of next year”.
“As we move forward with the pandemic, I hope these bottlenecks will subside. Americans will return to the work force as conditions improve.”added.
And the inflation rate closed last September at 5.4%, Which represents levels not seen in the United States in over a decade.
The Consumer expensesrepresented in the United States Almost two-thirds of economic activity, has received generous fund distributions from the government since March 2020.
Other factors that contribute to inflation include Labor shortages that keep raising wagesand disruption of global supply networks, causing delays in the delivery of materials and products.
This continued rise in prices in the country raised concern, especially since Federal Reserve The US Federal Reserve indicated at the beginning of the year that it would be of a “temporary” nature and has now realized that It can last longer than expected.
fact, The US central bank indicated that the gradual withdrawal of monetary stimulus may begin At its next meeting in November, by reducing the size of the monthly bond purchase program 120 billion dollars.
The US central bank maintains Interest rates in a range close to zero and the aforementioned liquidity injection since March 2020, to support the economy after the impact of the epidemic.
in September, The Fed cut its economic growth forecast to 5.9% this yearCompared to an estimated 7% three months ago. While inflation rates rose slightly from 3.4% to 4.2% by the end of 2021.
(With information from EFE)
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