UNITED STATES : “inflationary pressures remain widespread“, emphasizes the Fed
Prices continue to climb in the United States and “inflationary pressures remain widespread“, indicated the American central bank (Fed) in its Beige Book released Wednesday, March 8.
>> The Fed slows the pace of rate hikes but wants to continue them
>> New jump in inflation expected in January in the United States
| In a supermarket in the US state of Washington. |
| Photo: AFP/VNA/CVN |
Price increases, however, have slowed in several regions, the Fed also underlines in this survey carried out at the end of January and throughout February among companies in the country. these “expect price growth to continue to moderate over the course of the year“, It is specified. Companies, in some of the twelve regions of the Fed system, thus observed an increase in the prices of supplies, “in particular for energy and raw materials“, details the Beige Book.
Nevertheless, “some relief“has been remarked upon”transport and shipping costs“. Moreover, “some regions noted that businesses had a harder time passing cost increases on to their consumers“. So, regarding the selling prices, they have “increased moderately in most regions“, even decelerating at times. Inflation rose again in January, to 5.4% over one year, according to the PCE index, favored by the Fed, and which it wants to bring back around 2%. Another measure, the CPI index, on which pensions are indexed, slowed slightly over one year, to 6.4%, accelerating however over one month for the first time since September.
February’s CPI inflation will be released on Tuesday. “Overall economic activity increased slightly at the start of 2023“, further indicated the Fed, which is nevertheless seeking, by raising its key rates for a year, to slow down activity to ease pressure on prices. And the companies questioned for the Beige Book “did not expect economic conditions to improve much in the coming months“.
APS/VNA/CVN
