{"id":1415535,"date":"2022-04-01T19:44:36","date_gmt":"2022-04-01T23:44:36","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1415535"},"modified":"2022-04-01T19:44:38","modified_gmt":"2022-04-01T23:44:38","slug":"the-feds-favorite-inflation-measure-hits-record-high","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-feds-favorite-inflation-measure-hits-record-high\/","title":{"rendered":"The Fed\u2019s Favorite Inflation Measure Hits Record High"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fthe-feds-favorite-inflation-measure-hits-record-high%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1415535&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/dw-wp-production.imgix.net\/2021\/07\/GettyImages-1233599336-scaled.jpg?w=1200&#038;h=800&#038;ixlib=react-9.3.0\" class=\"ff-og-image-inserted\" alt=\"image\" \/><\/div>\n<p><span>The Personal Consumption Expenditures Price Index \u2014 the Federal Reserve\u2019s preferred metric for tracking inflation \u2014 is rising at a 6.4% year-over-year rate as of February.<\/span><\/p>\n<p><span>The increase <\/span><a href=\"https:\/\/www.nytimes.com\/2022\/03\/31\/business\/economy\/pce-inflation-february.html\"><span>surpasses<\/span><\/a><span> the 6.1% rate charted in January, marking the highest inflation rate since 1982. Without considering volatile categories like food and fuel, the PCEPI climbed 5.4% year-over-year.<\/span><\/p>\n<p><span>Rising price levels have been a major criticism of President Joe Biden\u2019s first year in office, with 83% of Americans responding affirmatively to a <\/span><a href=\"https:\/\/www.dailywire.com\/news\/more-than-8-in-10-americans-hurt-by-inflation-economy-most-important-issue-poll\"><span>poll<\/span><\/a><span> asking whether \u201cincreased prices of everyday items caused you or your household any hardship\u201d over the past month.<\/span><\/p>\n<p><span>Likewise, voters were also asked about the recent surge in gas prices. 39% blamed the trend on the Biden administration; 21% blamed gas and oil sanctions placed by the Biden administration and Western allies on Russia; 18% blamed oil and gas companies; and 8.5% blamed COVID-19.<\/span><\/p>\n<p><span>Last month, the Federal Reserve \u2014 which is charged with manipulating the money supply to target stable inflation and maximum employment \u2014 <\/span><a href=\"https:\/\/www.cnbc.com\/2022\/03\/16\/federal-reserve-meeting.html\"><span>raised<\/span><\/a><span> interest rates for the first time since December 2018. The 0.25% bump from near-zero levels is an attempt to tap the brakes on inflation; indeed, the Fed is predicting six more rate increases in 2022, three in 2023, and zero in 2024.<\/span><\/p>\n<p><span>\u201cIndicators of economic activity and employment have continued to strengthen. Job gains have been strong in recent months, and the unemployment rate has declined substantially,\u201d the central bank\u2019s Federal Open Market Committee explained in a <\/span><a href=\"https:\/\/www.federalreserve.gov\/newsevents\/pressreleases\/monetary20220316a.htm\"><span>statement<\/span><\/a><span>. \u201cInflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures.\u201d<\/span><\/p>\n<p><span>\u201cThe Committee decided to raise the target range for the federal funds rate to 1\/4 to 1\/2 percent and anticipates that ongoing increases in the target range will be appropriate,\u201d the statement continued. \u201cIn addition, the Committee expects to begin reducing its holdings of Treasury securities and agency debt and agency mortgage-backed securities at a coming meeting.\u201d<\/span><\/p>\n<p><span>As The Daily Wire\u2019s Cabot Phillips explained on a recent episode of <\/span><a href=\"https:\/\/www.dailywire.com\/podcasts\/morning-wire\/russia-escalates-interest-rates-rise-3-21-22\"><span>Morning Wire<\/span><\/a><span>, the rate hike will have ripple effects throughout the economy.<\/span><\/p>\n<p><span>\u201cThe general idea is that as interest rates go up, average people are less likely to take out loans because the deals aren\u2019t as good as they\u2019ve been,\u201d he explained. \u201cAs that happens, the idea is that people will stop borrowing and spending money, which will leave fewer active dollars in the economy \u2026 hopefully curbing inflation.\u201d<\/span><\/p>\n<p><span>\u201cFor anyone taking out larger loans, they are gonna notice this,\u201d Phillips continued. \u201cIf you have an existing car loan or federal student loan, those won\u2019t be affected, because they\u2019re fixed rates, but others will.\u201d<\/span><\/p>\n<p><span>Meanwhile, the Consumer Price Index <\/span><a href=\"https:\/\/www.dailywire.com\/news\/inflation-soars-7-9-in-past-12-months-new-40-year-high\"><span>increased<\/span><\/a><span> by 7.9% over the 12 months ending in February \u2014 hitting another 40-year high. In response to rising prices for gasoline and other staples, some governors are suggesting amendments to various state taxes.<\/span><\/p>\n<p><span>\u201cAs Americans see their cost-of-living skyrocket amid historic inflation, suspending the grocery tax is the most effective way to provide direct relief to every Tennessean,\u201d Governor Bill Lee (R-TN) said in a <\/span><a href=\"https:\/\/www.tn.gov\/governor\/news\/2022\/3\/24\/gov--lee-announces-30-day-grocery-tax-suspension.html\"><span>statement<\/span><\/a><span> proposing a pause to the state\u2019s grocery tax. \u201cOur state has the ability to put dollars back in the pockets of hardworking Tennesseans, and I thank members of the General Assembly for their continued partnership in maintaining our fiscally conservative approach.\u201d<\/span><\/p>\n<p><i><span>The Daily Wire is one of America\u2019s fastest growing conservative media companies for breaking news, investigative reporting, sports, podcasts, in-depth analysis, books, and entertainment for a reason: because we believe in what we do. We believe in our country, in the value of truth and the freedom to speak it, and in the right to challenge tyranny wherever we see it. Believe the same? <\/span><\/i><a href=\"https:\/\/www.dailywire.com\/subscribe\"><i><span>Become a member now and join our mission<\/span><\/i><\/a><i><span>.<\/span><\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Personal Consumption Expenditures Price Index \u2014 the Federal Reserve\u2019s preferred metric for tracking inflation \u2014 is rising at a 6.4% year-over-year rate as of February.The increase surpasses the 6.1%<\/p>\n","protected":false},"author":99,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1415535","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1415535","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1415535"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1415535\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1415535"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1415535"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1415535"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}