With inflation rising faster than expected and the economy bouncing back quickly, there is increasing chatter that at some point, the Federal Reserve will have to tighten monetary policy to cool the economy. Jay Powell and his rate-setting colleagues already embraced a far more optimistic view of America’s rebound, sharply raising its forecasts for inflation this year and bringing forward the time frame on when it will hike rates. However, talk of tapering has picked up, but no action. The Fed’s balance sheet has almost doubled to nearly $8 trillion during the pandemic, while in the 2008 crisis, it only grew by more than $1 trillion. In turn, this flood of money supply and ultra-low interest rates have sparked a buy everything rally that pushed markets to records levels. So, what is going to happen when the Fed started removing such liquidity? Will all bubbles ranging from stocks to crypto pop up, or will the central bank be able to avoid another taper tantrum? source: U.S. Bureau of Labor Statistics
Producer Prices Change in the United States averaged 2.96 percent from 1950 until 2021, reaching an all time high of 19.57 percent in November of 1974 and a record low of -6.86 percent in July of 2009. This page provides - United States Producer Prices Change - actual values, historical data, forecast, chart, statistics, economic calendar and news. United States Producer Prices Change - data, historical chart, forecasts and calendar of releases - was last updated on June of 2021.
Producer Prices Change in the United States is expected to be 5.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices Change in the United States to stand at 1.60 in 12 months time. In the long-term, the United States Producer Prices Change is projected to trend around 1.80 percent in 2022 and 2.10 percent in 2023, according to our econometric models.