Coming into and through 2019, the economy was strong and the Consumer Price Index, a key measure of inflation, was low.
For some, that seemed like a bad thing — economists worried that chronically low inflation could increase the risk of future economic stagnation.
The Personal Consumption Expenditures index, a slightly delayed price measure that the Fed uses for its 2 percent inflation target, similarly fell.
Within a few months, inflation began to pick up.
Price jumps began to moderate even in service categories, which made economists hope that the deceleration might be the real deal.
Persons:
—, Biden, Donald J, Trump, Price, ” Jerome H, Powell, ” Mr
Organizations:
Fed, Consumer, Federal
Locations:
Covid, Ukraine, blowups