It challenges the business and tests the Federal Reserve’s determination to continue to revitalize the economy, increasing supply constraints that have caused all shortages from semiconductors to sweatpants, increasing pressure on inflation.
Economists and executives are currently disrupting these supply chains, major labor shortages, and Multiple fiscal stimulus measures It will survive until the end of the year, if not more.
After the central bank’s most recent policy meeting, Fed Chair Jerome Powell said Wednesday that “creating demand has proved to be much easier. Returning supply to snuffs.” It was.
The pressure on US companies shows few signs of giving up, especially in the manufacturing industry.
According to the May Purchasing Managers Index released by the Institute for Supply Management, the pace of production and employment in the manufacturing industry in May slowed from the previous month, although new orders and backlogs accelerated.
Supply crunch risk expanding until 2022, inflation stalking
Source link Supply crunch risk expanding until 2022, inflation stalking