Here are the details…
American Consumer Spending has shockingly dropped and inflation is now at a 40-year all time high.
According to Bloomberg, American inflation-adjusted consumer spending fell last month by the most since last February.
Furthermore, The personal consumption expenditures price gauge, which is used by the Federal Reserve to find its inflation target, increased by 0.4% from the previous month and 5.8% since December 2020.
Federal Reseve Chair Jerome Powell recently warned, “There’s a risk that the high inflation we’re seeing will be prolonged, there’s a risk that it will move even higher. We have to be in a position with our monetary policy to address all of those plausible outcomes.”