The federal reserve occurs after concerns about the imminent economic stagnation.
It is no secret that there are mutations in grocery prices and closing comprehensive stores during the past year.
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Inflation recently increased by 0.5 % in January, with an annual average average of about 3 %.
This remains outside the mark of the federal reserve goal, which is 2 %.
Energy and food takes some visits in particular, especially given the constant deficiency of eggs due to the spread of bird flu.
President Donald Trump blames former President Joe Biden.
“Biden inflation!” Read a post from the president on the social truth.
Despite all the uproar and uncertainty, Federal Reserve Chairman Jerome Powell confirmed that “the American economy is still in a good place,” according to a press statement.
Powell said: “The labor market is strong, and inflation has approached our 2 % longer goal,” Powell said.
“In the Federal Reserve, we focus strongly on the double goals that Congress provided to us: the maximum employment and stable prices.”
Politics pledge
Powell also stressed that the Federal Reserve is looking forward to “major changes in politics” to improve the economic position of America.
Policies in trade, immigration, financial policy and regulation will be implemented.
“Although there are recent developments in some of these areas, especially commercial policy, uncertainty about the changes and their potential effects remain high,” pointed out the Federal Reserve Chair.
Although this step was not placed in the stone.
“If the economy remains strong, but inflation does not continue to move in a sustainable manner about 2 percent, we can maintain policy control for a longer period,” he added.
“If the labor market is unexpectedly weakening or inflation decreases more quickly than expected, we can reduce policy accordingly.”
Consumer and inflation price index explained
The consumer price index is how the federal government measures inflation.
Each month, the work statistics office shares consumer price index numbers with detailed breakdowns on the elements that change prices.
The consumer price index shows that the amount prices have risen or decreased during the previous 12 months.
The calculation process is complicated, but it measures changes in the price of urban consumers, or those who live or work in an American urban area.
While this does not cover everyone, it measures the prices of about 90 % of the population.
“Our current political position is in a good situation to deal with the risks and doubts that we face in following both sides of our double mandate,” Powell stressed the issuance.
Eggs
However, grocery prices are still a major concern for American consumers, especially looking at eggs.
Earlier this year, the costs amounted to about $ 10 in states like Hawaii.
Retail traders such as Costco, Walmart and Trader Joe were forced to set boundaries on the purchases of cartoon.
Dr. Jim Kane, Director of Veterinary Sciences at the Center for Humanitarian Economics and a former research scientist at the US Department of Agriculture, told the United States newspaper in an exclusive conversation that it would take “several minutes until the prices of eggs decrease” amid influenza escape.
“There is always a delay in treating egg supplies due to control efforts, recycling poultry farms with new birds, and the time that the weight gets to reach the age of laying eggs,” explained by Dr. Kane.
The fears of the increasing costs of consumers as a result of President Trump's identification policies are also continuing.
Companies such as Coca-Cola make considerations while filling out their drinks to move forward to avoid additional costs.
Even game companies such as Mattel expect that there will be an increase in prices on famous favorites such as hot wheels and Paribi.
