US inflation draws concerns from investors, experts

US inflation draws concerns from investors, experts

New York: Inflation in the United States is reaching decade highs, and drawing concerns from investors and experts as well as ordinary consumers, who believe the country's inflationary pressures are underestimated and the Federal Reserve's inflation management framework should be questioned. High-flying inflation in the country in the last few quarters not only made many people delay big-ticket purchases but also drove investors into assets to hedge inflation risks. "Now the higher inflation is beginning to create explosions and affect economic decision making. And so I think it's a problem right now," said Mickey D. Levy, chief economist for Americas and Asia with Berenberg Capital Markets LLC. Levy said the Fed is missing the point on the impact of inflation and "the higher inflation is gonna start digging into disposable income. So we have to really start thinking about these real effects." Consumers' complaints about rising prices on homes, vehicles, and household durables have reached an all-time record, said the University of Michigan in a recent report on consumers' survey. The index of consumer sentiment dropped to 80. 8 in July from 85. 5 in June, according to preliminary results of the survey. Meanwhile, 57 percent of respondents believe inflation