The Inflation Connection: Energy, Housing & Wages

SourceForbes
SectorOil & Gas
CountryGulf

Share to Linkedin US Federal Reserve Bank Chairman Jerome Powell speaks at a press conference in Washington, DC, on … [+] December 11, 2019. – Powell said Wednesday he would want to see a “significant” and “persistent” inflation rise before he would raise rates to clamp down on prices. For now, the Fed’s benchmark interest rate “is appropriate and will remain appropriate” until there is a change in the outlook, he said.

“In order to move rates up, I would want to see inflation that is persistent and that is significant,” Powell told reporters. (Photo by Eric BARADAT / AFP) (Photo by ERIC BARADAT/AFP via Getty Images) There is an inflationary connection among energy, housing, and wages. Louis Gave, co-founder and CEO of Gavekal Research, recently said that most economic activity is simply transformed energy of one sort or another. Modern economies developed as we found more efficient energy sources, moving from coal to oil to natural gas and nuclear....read more...