Sully: Inflation is back as prices are surging
SAN DIEGO (KUSI) – From used cars and gasoline to lumber and food, prices are surging. The return of inflation, after a decades-long absence, is squeezing families and businesses recovering from the pandemic.
It’s time to sound the inflation alarm inside the White House, according to KUSI Contributor Sully Sullivan.
The successful rollout of vaccines is allowing companies to reopen and Americans to resume traveling, spending and working.
Economic growth is being turbo-charged by rock-bottom interest rates and unprecedented fiscal stimulus.
“But this has turned into bad news for the White House as this economy that overheats, forcing the Federal Reserve to cool it down by raising interest rates so aggressively that it causes a serious problem for this administration,” said Sully on Good Morning San Diego.
The good news is that the Fed, and many economists, expect prices to cool off after the initial shock of the reopening passes.
The bad news? There is no inflation playbook following a once-in-a-century pandemic.