Thursday, April 11, 2024

Resurgent inflation looms over Joe Biden’s White House bid

A new rise in US inflation is undermining Joe Biden’s re-election message, threatening the president’s effort to defend his economic record in a crucial phase of the campaign against Donald Trump.

The 3.5 per cent annual increase in the March consumer price index followed a 3.2 per cent gain a month earlier, and has made it suddenly much harder for Biden to argue that inflation is continuing to move steadily downwards since hitting a multi-decade peak in the summer of 2022.

If followed by other higher than expected inflation figures in the coming weeks, it could also lead the Federal Reserve to push back interest rate cuts that would bring relief from high borrowing costs for many American households this year.

Even though the US economy has created more than 15mn jobs under Biden’s watch, the jump in inflation during his tenure has cast a cloud over his handling of the economy and remains one of his biggest political weaknesses heading into the November vote.

via www.ft.com

I don't see Trump as an inflation fighter either. All politicians love to spend money and tax us when they have to to keep the game going, it seems.

https://rightcoast.typepad.com/rightcoast/2024/04/resurgent-inflation-looms-over-joe-bidens-white-house-bid.html

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