Federal Reserve Chair Jerome Powell and Fed Governor Lael Brainard on Monday both noted the corrosive impact high inflation is having on the U.S. economy and American families in what may be a signal that controlling the rapid pace of price increases is now the central bank's top priority.
In brief remarks following Powell's nomination by President Joe Biden to a second term as head of the Fed and Brainard's nomination as the Fed's vice chair, each emphasized their awareness of how damaging inflation has become.
"We know that high inflation takes a toll on families, especially those less able to meet the higher costs of essentials, like food, housing and transportation," Powell said in comments alongside Biden and Brainard. "We will use our tools both to support the economy - a strong labor market - and to prevent higher inflation from becoming entrenched."
In her remarks, Brainard emphasized a goal of "getting inflation down at a time when people are focused on their jobs and how far their paychecks will go."
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