TREASURY SECRETARY JANET YELLEN: U.S. deficit reduction is NECESSARY to keep interest costs MANAGEABLE!
READ THE ENTIRE REUTERS ARTICLE HERE!
U.S. Treasury Secretary Janet Yellen said on Thursday that labor market and inflation data suggest the U.S. economy is on a path to a "soft landing," but the "last mile" on taming inflation is bringing down housing costs.
Yellen told CNBC in a live interview that based on comments from Federal Reserve officials, the U.S. central bank's benchmark overnight interest rate will continue to decline to a neutral policy level.
"I always believed that there was a path to a soft landing, that it was possible to bring inflation down while maintaining a strong labor market, and to me, that's what the data suggests has happened," Yellen said.
She added that there was reason to believe that housing costs would also fall.
Yellen also said that U.S. deficit reduction was necessary to keep interest costs manageable over time, but added that the Biden administration believed it important to continue to invest in parts of the economy that would fuel future growth.
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Yellen is clueless! Inflation will return after the FED eases to benefit the incumbents