FOX Enterprise host Larry Kudlow advised, “Cavuto: Coast to Coast” Wednesday that the Federal Reserve “pumping cash” into the economy won’t tame inflation amid stagflation issues.
US INFLATION EXPECTATIONS SURGE TO HIGHEST LEVEL SINCE 2013
LARRY KUDLOW: We’ve got extra money than we all know what to do with, and so the Fed is doing these…reverse repurchase agreements for 5 foundation factors. They will take the cash and so they’ll give it for 5 foundation factors. They will give them a Treasury invoice…that’s 1.3 trillion of that happening on daily basis.
…Provide shortages, that finally [will] get labored out, do not ask me when, however finally, it would. We are able to open up containers and we are able to get truck drivers, and we’ll need to pay them an excellent wage. OK? Not simple, however we are able to remedy that, proper? However the Fed pumping out all this cash continually week after week…I imply, M2 is now rising at 12 or 13 p.c. We’re properly into this restoration…We do not want that…that may improve inflation.
WATCH THE FULL INTERVIEW BELOW: