Rising prices for basic necessities such as food, rent, and mortgages Weighing in For many American consumers, the Secretary of the Treasury Janet Yellen He said on Thursday, May 23rd.
Yellen said the price increases were “substantial,” rapid and noticeable to consumers, the Financial Times reported. report Thursday.
of Consumer Price Index Interest rates are at record highs, up more than 19% since President Joe Biden took office They are Inflation continues at a 23-year high Federal ReserveThe company’s goal is 2%, according to the report.
The report said inflation is a global problem, but that in the United States, a strong labor market and fiscal stimulus have allowed inflation to persist for a long time.
“Cost of living is an issue lots of “I think this is a legitimate concern that people have,” Yellen reportedly said.
Yellen said the Biden administration has responded to rising prices by fighting “junk fees.” by The report criticizes companies for “shrinkflation.”
The report came days after the Federal Reserve released a report stating: inflation Rising prices remain consumers’ biggest financial concern: The survey found that 65% of consumers said rising prices have hurt them financially, while 19% said the situation has become “much worse.”
Latest Consumer Sentiment Index Issuer University of Michigan Consumers were found to be worried about the near-term outlook for inflation, employment prospects and interest rates.
of The index has been deleted Consumers’ inflation expectations one year from now rose to 3.5% this month from 3.2% last month, while longer-term inflation expectations fell to the lowest level in six months. Gradually increasing It rose to 3.1% this month from 3% last month.
PYMNTS Intelligence reported in January that just 18% of wage earners income It’s keeping up with inflation. Even among high-income earners, only 27% agree.New reality check: Paycheck to paycheck report: Why one-third of high earners live paycheck to paycheck. “
The report also found that 62 percent of all consumers, and more than a third of those earning more than $200,000 a year, say they run out of money before payday.