comscore Fed expects little effect from oil prices | Honolulu Star-Advertiser
Business

Fed expects little effect from oil prices

[ AD HAS BEEN REMOVED FROM THIS STORY ]

WASHINGTON » Federal Reserve Chairman Ben Bernanke boldly predicted to Congress yesterday that rising oil prices will cause only a brief and modest rise in consumer inflation.

Appearing before the Senate Banking Committee, Bernanke faced sharp questions about whether rising gasoline prices could spread dangerous inflation through the economy. He said he did not think so.

"The most likely outcome is that the recent rise in commodity prices will lead to, at most, a temporary and relatively modest increase in U.S. consumer price inflation," Bernanke said.

Gas prices jumped over the weekend to a new nationwide average of $3.37 a gallon.

That’s 26.7 cents a gallon more than a month ago.

 

Click here to see our full coverage of the coronavirus outbreak. Submit your coronavirus news tip.

Be the first to know
Get web push notifications from Star-Advertiser when the next breaking story happens — it's FREE! You just need a supported web browser.
Subscribe for this feature
Comments have been disabled for this story...

Scroll Up