Concerns of Reflation Rise Amid Economic Policy Shifts

Reported 7 days ago

Inflation, which spiked to 9% under President Biden, had decreased to 2.4% by September. However, a recent increase to 2.6% in October raised concerns that inflation may be returning, especially with incoming President Trump anticipated to enact inflationary policies, including higher tariffs and reduced immigration. This situation is prompting the Federal Reserve to reconsider its recent interest rate cuts. Bond markets reflect worries about rising inflation, and if consumer confidence erodes again, it could pose political challenges for Trump as he takes office.

Source: YAHOO

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