Monday, January 3, 2011

U.S. economic slowdown will reduce inflationary pressures to maintain low interest rates.

14 U.S. government report showed, in April consumer prices were contained, particularly in food and energy prices removed the case even more so. .This further shows that the recent economic slowdown weakened the soaring food and energy prices, inflationary effect. .<P> The data should be able to ease the Federal Reserve (Fed) officials, the inflation outlook in recent days to express concerns. .At least the consumer price data showed that inflation did not take root in the economy. .This means that Fed officials may respond to the economic slowdown as interest rates remain low. .</ P> <P> (http://finance.) 14, U.S. Department of Labor announced in April the consumer price index (CPI) rose 0.2%. .Excluding food and energy prices, core CPI in April rose by 0.1%. .Dow Jones Newswires survey of Wall Street economists had forecast in April both overall and core CPI increased by 0.2%. .</ P> <P> 4 月份 CPI rose by 3.9%, slightly lower than the March increase. .Core CPI rose by 2.3%. .Over the past three months, core CPI rose by only 1.2%. .</ P> <P style=MARGIN: 0px> 4 月份 CPI increase over the same period that the Fed slightly higher than the 1.5% -2%, a reasonable range of high-end. .In addition, Fed is more concerned about price index for core personal consumption expenditures (PCE) is also close to this interval, March PCE rose 2.1%. .</ P> <P style=MARGIN: 0px> latest data showed inflation pressures facing the United States is not so serious, this should ease worries about the Fed officials. .</ P> <P> Fed has been several months since the focus of monetary policy to respond to the housing and credit market turmoil issues, since last September, Fed has cut the federal funds rate by 3.25 PCT, to 2 per cent. .However, last month cut interest rates by 0.25 after the release will be determined after the statement, Fed officials said that the inflation uncertainty remains high. .Economists believe that the comments would suggest, inflation, Fed officials are increasingly worried about the future, further interest rate cuts unlikely. .</ P> <P> part of his speech Tuesday, Fed officials have hinted that inflation remains the biggest concern. .San Francisco Federal Reserve Bank President 詹妮特耶伦 (Janet Yellen) in his speech said the inflation data has been disappointing, and she thought at the high end of reasonable range. .Kansas City Federal Reserve Bank President 托马斯赫宁 (Thomas Hoenig), said the inflation rate at unacceptable levels. .</ P> <P> but mild core CPI data confirms the Federal Reserve Bank of Minneapolis President Gary Stern (Gary Stern) 13-day speech. .He explained that food and energy driven by the overall rise in inflation means that real incomes were not substantial increase in overall demand which impact on the economy, but also that the price of many other consumer goods may not appear as great gains. .</ P> <P> a separate report, the Labor Department said inflation-adjusted average weekly earnings of the United States in April fell 0.5%, indicating that the worker's income does not increase the speed to keep up with rising prices, which may .consumer spending will cause stress. .Average hourly wages increased by 0.1%, average weekly hours decreased 0.3%. .</ P>.

No comments:

Post a Comment