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Atlanta Fed president Raphael Bostic
"It is becoming increasingly clear that the feature of this episode that has animated price pressures — mainly the intense and widespread supply chain disruptions — will not be brief," Bostic said
Data from multiple sources point to these lasting longer than most initially thought. By this definition, then, the forces are not transitory.
Longer-run inflation expectations measures have climbed, with many reaching levels we haven’t seen in about a decade. These upside risks to the inflation outlook bear watching closely” he said, perhaps eyeing the latest staggering consumer inflation expectations released by the NY Fed earlier today.
The real danger is that the longer the supply bottlenecks and attendant price pressures last, the more likely they will shape the expectations of consumers and businesspeople, shifting their views on pricing and wages in particular," he said.
"It is becoming increasingly clear that the feature of this episode that has animated price pressures — mainly the intense and widespread supply chain disruptions — will not be brief," Bostic said
Data from multiple sources point to these lasting longer than most initially thought. By this definition, then, the forces are not transitory.
Longer-run inflation expectations measures have climbed, with many reaching levels we haven’t seen in about a decade. These upside risks to the inflation outlook bear watching closely” he said, perhaps eyeing the latest staggering consumer inflation expectations released by the NY Fed earlier today.
The real danger is that the longer the supply bottlenecks and attendant price pressures last, the more likely they will shape the expectations of consumers and businesspeople, shifting their views on pricing and wages in particular," he said.
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