President Joe Biden shrugged off the most recent unexpectedly high inflation numbers on Tuesday even while they triggered an abrupt plunge in the currency markets.
I believe were likely to be fine, Biden told reporters Tuesday night when asked concerning the disappointing data release early in the day.
The president spoke briefly to reporters after planing a trip to Delaware from the White House to vote in his home states primary election.
When asked by way of a reporter whether he was concerned about the most recent inflation numbers, Biden replied, No, Im not.
President Joe Biden speaks with Senator Joe Manchin (D-WV) on the South Lawn of the White House in Washington, DC, following a celebration of the Inflation Reduction Act on September 13th, 2022. (Nathan Posner/Anadolu Agency via Getty Images)
Biden dismissed the month-to-month overall inflation number as one-tenth of just one 1 percent from the prior month, despite the fact that grocery prices rose 0.7 percent in August, rent rose 0.7 percent, the expense of electricity rose 1.5 percent, and gas prices rose 3.5 percent. Inflation from the prior year is up 8.3 percent.
Economists, however, usually do not share Bidens optimistic appraisal of the problem.
Former President Barack National government economic adviser Jason Furman, now a Harvard professor, described the numbers as extremely ugly and Larry Summers, also a former adviser to Obama at Harvard said america had a significant inflation problem.
The median CPI, which excludes all of the large changes in either direction and is way better predicted by labor market slack, has gone out and is incredibly ugly. A 9.2% annual rate in August, the single highest monthly print within their dataset which starts in 1983 (second highest was in June). pic.twitter.com/4W6XDLdJXA
Jason Furman (@jasonfurman) September 13, 2022
Todays CPI report confirms that the united states includes a serious inflation problem.
Core inflation is higher this month than for the quarter, higher this quarter than last quarter, higher this 1 / 2 of the year compared to the previous one, and higher this past year compared to the previous one.
Lawrence H. Summers (@LHSummers) September 13, 2022
Investors also signaled concern concerning the latest numbers
The Dow Jones industrial average plunged 1,276 points on Tuesday in a reaction to the unexpected data, suggesting that inflation would remain stubbornly high.