Powell's words come true! The misery of the poor exacerbates the Fed challenge

Powell stressed several times at the press conference that high inflation disproportionately affects low-income people because they are the least able to afford the high costofFood, transportation and housing expenses。

Although the United StatesofInflation levels have risen from last summerofThe peak fell sharply, but that only means that prices are risingofSlow down, these necessitiesofThe price has not been reduced.。In the face of high prices and high interest ratesofUnder the double burden,More and moreofLow-income Americans are behind on rent and unable to afford food, adding to the growing financial woes in the U.S. economyofSigns also make it more difficult for the Federal Reserve to balance risks when raising interest rates。

The Supplemental Nutrition Assistance Program (SNAP) is a U.S. program that helps low-income people access food and nutritionofA welfare plan。Join SNAPoffamilyIncome is usually at or below the poverty lineoffamily。

According to the U.S. benefits program software developer Propel Inc., it was announced WednesdayofA report on the use of SNAP to obtain additional subsidies in the epidemicoffamilyAmong them,42% skipped meals in August, and 55% ate less because they couldn't afford food, compared to last yearofMore than twice as much.。

Industrial foreign exchangeThe statistics also highlight that in AugustfamilyThe situation is worse than it was a month ago。Since July,More and moreoflow incomefamilyUnable to pay last monthofUtilities or can't pay rent。Receiving additional SNAP subsidiesofAmong the interviewees,More than two-thirdsofPeople express that they have some form ofofdebt。

Justin King, director of policy at Propel, said the U.S. economy is indeed doing well, but incomes are lowerofPeople are going through a lot of hardship right now。He said,

"We've seen big cuts in safety net benefits this year, and we're seeing those cuts nowofImpact "。

The report is recentofOther data provide additional information, indicating thatAs labor market demand cools, savings decrease andDuring the epidemicofcash grantDue date, consumer finances and emotionsaverageIt erodes.For thoseminimum incomeoffamilyThe most serious impact。

U.S. Census Bureauof“familyPulse survey "shows that more than a third of AugustofRespondents who could not afford basic necessities said it was "very difficult or somewhat difficult", an increase from July。

Announced on TuesdayofThe August Conference Board Consumer Confidence Index also showed that...Overall consumer confidence fell to a three-month low in August.Where the income is less than $25,000ofConsumer confidence index fell the most。In addition, the expected inflation rate for the coming year rose slightly to 5.8%, the first increase in five months。Although consumers have eased due to falling inflation, prices remain high, continuing to weigh on market sentiment。

Various factors suggest that inflation is being reduced to the target levelofDuring the process, the Federal Reserve faced contradictionsofchallenge。If not done enough, high inflation will become entrenched and erode American consumersofReal income and purchasing power; if too much is done, the economy will suffer a major setback and unemployment will rise sharply。

But in any case, low-income people have to bear the burdenofThe consequences are the most seriousof。