Bloomberg/Bill Dudley/7-14-2022
Cartoon courtesy of MichaelPRamirez.com
“Developments in the US economy have recently been going the Federal Reserve’s way, with price pressures peaking even as economic growth and strong payroll gains have been sustained. But don’t be fooled: The task of getting inflation back to the Fed’s 2% target remains extremely daunting, both practically and politically.”
USAGOLD note: Some surprisingly negative commentary on the Fed’s ability to achieve its inflation goals from the former head of the New York Fed. The progression should be a matter of concern for all investors. We have gone from “no problem” to “transitory” to “controllable” to “persistent” to “extremely daunting” (per Dudley) – all in the space of a single year. As we have always said, inflation is not an event but a process.
