Yellen has the lowest inflation average in 30 years
Federal Reserve President Janet Yellen has the lowest inflation average for the United States in 30 years, making it a key problem amid progress in labor market.
Annual PCE price index, the Fed’s preferred inflation gauge, has averaged 1.1 percent since Yellen took charge in 2014. That is the lowest average in 30 years, compared to a 2.5 average during Alan Greenspan period and 1.9 percent under Ben Bernanke.
However, the PCE index has averaged 1.9 percent during the first four months of 2017, which is quiet close to the Fed’s 2 percent target.
On the other hand, the annual core PCE index has retreated over the first
four months of 2017 to 1.5 percent in April.