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0 0.000202839756592252 4.46247464502003E-05 -0.000608519269776899 -0.000608519269776899 0.000600405679513082 0.000202839756592252 -0.000811359026369151
Stock impact report

Inflation Is Rising, And The Fed's Main Tool To Fix It Might Not Work [Yahoo! Finance]

Bank of America Corporation (BAC) 
Last bank of america corporation earnings: 4/15 06:45 am Check Earnings Report
US:NYSE Investor Relations: investor.bankofamerica.com
Company Research Source: Yahoo! Finance
The Fed usually raises its fed funds rate to curb "demand-side" inflation stemming from consumers holding more cash, but that is thought to be ineffective against inflation driven by supply shortages. The Fed may raise rates after all if the shock continues for a long time, leading the public to expect higher inflation in the future. The Iran war is causing a surge in energy prices that's likely to stoke inflation in the coming months, and the Federal Reserve's monetary policy playbook may be helpless to stop it. With average gas prices up more than $1 a gallon so far because of the Iran war, economists say other prices are likely to follow suit and lead to a general uptick in inflation. Forecasters at Bank of America, for example, said they expect consumer prices as measured by Personal Consumption Expenditures to rise nearly 4% over the year in the second quarter, up from their pre-war estimate of 3% annual inflation. The Federal Reserve, tasked by Congress with managing in Show less Read more
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