Bill Dudley, Columnist

U.S. Inflation Isn’t Scary Yet, But It Could Be

The current spike will probably pass, but the longer-term risk remains.

June 3, 2021 at 5:00 AM EDT

Bill Dudley, a Bloomberg Opinion columnist, served as president of the Federal Reserve Bank of New York from 2009 to 2018. He is the chair of the Bretton Woods Committee, and has been a nonexecutive director at Swiss bank UBS since 2019.

Before it’s here, it’s on the Bloomberg Terminal

LEARN MORE

This article is for subscribers only.

The U.S. Federal Reserve is showing little concern about inflation, even though its preferred measure — the core price index for personal consumption expenditures — has increased 3.1% over the past year, far exceeding the central bank’s longer-term 2% target.

Should people be worried about a wealth-destroying bout of price increases? No, and yes.

Before it’s here, it’s on the Bloomberg Terminal

LEARN MORE