USA Market – Inflation Is Too High, Wages, Rent, Too On Rise
Jerome Powell has not given any indication of how the interest rate will offer as current indicators have no good response, after August Hike.
Overall, inflation is risen by almost 12% which is considered to be all-time-high.
Wages inflation are increasing by 5% whereas rent inflation are increasing by 6%.
Inflation growth means loss in Gross Domestic Product (GDP).
Travel and Leisure inflation will be increasing faster. This will directly affect the tourism sector.
The Federal Reserve is planning to bring the inflation target of 2%, which is very far away target, now.
The odds is on that Federal Reserve will have to increase the interest rate by 75 bps in September, October and November, to calm the price hike.
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