Is inflation looming as the next obstacle?

Author:
Updated:
Original:

Unemployment figures for December will be released Friday and there's an expectation the rate will fall back under 10 percent.

After increasing to 10.2 percent in October, unemployment fell to 10 percent in November. Another month like that could indicate the economy has stopped shrinking and is even beginning to expand, according to an article on Forbes.com.

But the question looms: Is inflation next?

With the Treasury and Federal Reserve essentially printing U.S. currency and handing it to banks and overstretched lenders, there's a chance that too many dollars chasing a fixed amount of goods will lead to higher prices.

Inflation is at least as much based on perception of the future as conditions today, said Kevin Kleisen, an economist with the Federal Reserve Bank of Saint Louis.

"Right now inflation expectations are fairly low and stable, but if the market gets spooked - either from the Fed not withdrawing stimulus fast enough or the rising budget deficit - that could lead to higher inflation expectations," Kreisen told Forbes.com.

Click here for the full article.

Related

Vision Marine, Hellkats to Attempt E-Boat Speed Record

A Hellkats 32-foot Widebody equipped with Vision Marine’s E-Motion powertrain will try to be the fastest electric boat in its category.

Grand Banks Operations Remain Halted

The announcement follows the Malay government order extending movement restrictions to curb the spread of Covid-19.

OneWater Marine to Acquire N.J.'s Stone Harbor Marina

The acquisition further expands OneWater’s reach in the Northeast.

Rounding the Last Bend?

As all segments of the economy race to surpass prepandemic levels, a bit of wheelspin is expected to occur, but not for long.

MMTA Kicks Off Boater Initiative

Encouraging waterborne travel to the Bay State. Plus: businesses can legally require its staff to receive a Covid-19 vaccine.

Fairline Yachts Acquired

For the third time in five years, the esteemed U.K. builder has changed hands.

Free Fishing Fun with Cabela’s and Bass Pro Shops

To launch their Gone Fishing promotion, the outdoors companies are donating 40,000 rods and reels to youth-fishing partners and holding free in-store fishing events June 19-20.