HomeFinancial MarketsFederal Reserve, ECB Unwilling To Adjust Inflation Targets

Federal Reserve, ECB Unwilling To Adjust Inflation Targets

Chiefs of the Federal Reserve as well as the European Central Bank on Friday dashed any hopes that the two central banks would change their inflation targets. Federal Reserve Chair Jerome Powell confirmed that no changes would be made during his keynote address at the annual Federal Reserve Bank of Kansas City economic symposium at Jackson Hole, Wyoming on Friday.

“Two percent is and will remain our inflation target,” Powell confirmed. “We are committed to achieving and sustaining a stance of monetary policy that is sufficiently restrictive to bring inflation down to that level over time.” As the United States made its way out of the pandemic, the country’s economic strain persisted amid global supply chain shortages and labor market shortages.

European Central Bank President Christine Lagarde is adamant that the ECB will not adjust its target either. “We are playing a game; there are rules; don’t change the rules of the game halfway through,” she explained, before adding that she does believe that the fight against inflation is more than halfway complete.

Home Sales Plummeted in August According to Pending Data

Pending home sales for August were down 7.1% from the previous month, data from the National Association of Realtors revealed. This far outpaces the...

Stocks Fall After the Release of GDP Data

U.S. stocks declined on Thursday as investors digested the latest round of GDP data. Estimates on Thursday showed that the U.S. economy's GDP for...

Hyundai and Kia Recall Over 3 Million Vehicles Due to Fire Risk

Hyundai and Kia are in the process of recalling over 3.4 million vehicles in the United States due to a fire risk. Both automakers...