Fed’s George not ready to dismiss signals of higher inflation Kansas City Fed President Esther George on Monday said she won’t automatically look past recent higher inflation readings.
“While it is clear that temporary factors are boosting inflation now, I am not inclined to dismiss today’s pricing signals,” George said, in a speech at her district bank’s agricultural symposium.
Inflation over the year ended in April increased 4.2% as measured by the consumer price index. It wasn’t clear what this pace means for the medium-term inflation outlook, she said.
“Over the long term, the outlook for inflation is influenced by demand that is sufficiently strong across a wide range of goods and services that it pushes the
overall economy up against its productive capacity. In the near term, it can be difficult to distinguish between a string of seemingly idiosyncratic bottlenecks and a broader-based lack of capacity,” she said...............
https://www.marketwatch.com/story/feds-george-not-ready-to-dismiss-signals-of-higher-inflation-11621893038?mod=home-page
