“Inflation pressures are weighing on the economy”: Fed’s Paulson claims

Anna Paulson, President of the Federal Reserve (Fed) Bank of Philadelphia, said inflation is a drag on the United States (US) economy while discussing the economic outlook and regional trends at an event hosted by the Chamber of Commerce of Southern New Jersey on Friday.

Key takeaways:

Inflation pressures are weighing on the economy.

Firms are having a hard time planning for the future.

Monetary policy is appropriately positioned at mildly restrictive levels.

Inflation is too high and was too high even before the war started.

The US economy remains on track to continue modest growth.

Consumers are still spending, but at a slower pace.

Households and firms are cautious about the outlook amid elevated uncertainty.

The Unemployment Rate remains around levels consistent with full employment.”