Jerome Powell explains why Federal Reserve was caught off guard by current inflation

Jerome Powell.
(Image credit: Graeme Jennings-Pool/Getty Images)

During his Tuesday confirmation hearing, Federal Reserve Chair Jerome Powell attempted to explain why the central bank failed to anticipate the historic levels of inflation plaguing the country, CNN reports.

Powell, who is expected to win a second term leading the Fed following a renomination from President Biden, said protracted supply chain issues and workers' slower-than-expected return to the job market are to blame for the Fed's nearsighted inflation call, CNN notes.

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up
To continue reading this article...
Continue reading this article and get limited website access each month.
Get unlimited website access, exclusive newsletters plus much more.
Cancel or pause at any time.
Already a subscriber to The Week?
Not sure which email you used for your subscription? Contact us