Fed Chair Powell: ‘Inflation Will Move Down Significantly Over the Next Year’

EXCERPT:

POWELL: “Supply chain problems have made it difficult for producers to meet strong demand, particularly for goods. Increases in energy prices and rents are also pushing inflation upward. As a result, overall inflation is running well above our 2 percent longer run goal, with the PCE price index of 5 percent over the 12 months ending in October. Most forecasters, including at the Fed, continue to expect that inflation will move down significantly over the next year as supply and demand imbalances abate. It's difficult to predict the persistence and effects of supply constraints, but it now appears that factors pushing inflation upward will linger well into next year.”