Recently, Federal Reserve Chairman Jerome Powell effectively dismissed Biden’s nonstop denial of economic reality, including the fact that inflation is “transitory” and that a recession is not necessarily “inevitable.”
Shattering both delusions, Powell doubled down on the central bank’s commitment to bringing down inflation as realistically aggressively as possible, adding that he is “strongly committed” to combatting the worst inflation the nation has seen in more than forty years.
While testifying before the U.S. Senate Banking Committee, Powell insisted that “it is essential that we bring inflation down if we are to have a sustained period of strong labor market conditions that benefit all.”
Powell also noted that the central bank would continue to increase interest rates until “compelling evidence” arose regarding the easing of prices.
In spite of the White House’s nearly constant denial of reality, economic data, otherwise known as facts, reveal that inflation is spiraling out of control by virtually all accepted metrics, including the closely watched consumer price index (CPI).
While the Federal Reserve generally targets inflation at 2 percent, recent monthly readings have exploded well beyond this level, resulting in enormous volatility in both energy and food prices.
Specifically, inflation levels are running at more than three times the desired level, expanding well beyond 6 percent over the past several months, deeply hurting consumers and stymieing business growth.
In response to inflation, the Federal Reserve has jacked its benchmark rates more aggressively than it has in multiple years, chiefly from 1.50 to 1.75 percent, an elevation not seen since the Clinton era of 1994.
In addition, Powell signaled that even more aggressive hikes were ahead, including an additional 1.75 percent, depending on the direction in which prices move in response to the central bank’s hikes.
“Inflation has obviously surprised to the upside over the past year, and further surprises could be in store,” Powell declared, directly contravening Biden and his latest sycophant, Katrine Jean-Pierre, who masquerades as a press secretary but in reality serves as little more than a poor veneer for multiple falsehoods.
In response to the central bank’s monetary tightening, Beijing has loosened monetary policy in China, thereby making Chinese goods even more attractive on the global market and further undercutting an American recovery from a China-imposed pandemic.