The US Bureau of Labor Statistics latest Consumer Price Index (CPI) Summary has given reason for many to question President Joe Biden’s economic policy.
The CPI’s announcement of a higher-than-expected inflation rate has resulted in the Federal Reserve reportedly reversing plans to cut interest rates in the coming months.
The Fed had been hoping to observe inflation diminish to 2%.
Instead, CPI’s report reveals inflation did not decrease from previous months and increased in nearly all sectors of the economy.
President Biden has long touted his ‘bidenomics’ economic policy as boosting the economy.
In response to the inflationary report, Biden claimed the data “shows inflation has fallen over 60% from its peak, but we have more to do to lower costs.”
Today’s data shows inflation has fallen over 60% from its peak, but we have more to do to lower costs.
My plan would lower the cost of housing by building and renovating 2 million homes, and I’m calling on corporations with record profits to pass their savings to consumers.
— President Biden (@POTUS) April 10, 2024
However, conservatives who have long opposed Biden’s economic strategy claim the latest CPI further disproves Biden’s claims that his strategy is working.
US Senator Rick Scott (R-FL) outlined how inflation has squeezed Florida families’ budgets.
Senator Scott provided data on the different products experiencing the highest inflation and demanded Biden about-face his fiscal policy.
““Bidenomics is clearly failing Florida families and the March inflation report proves that’s true. Under President Biden’s failed Bidenomics agenda, inflation has skyrocketed by 19.4% since he took office” said Scott via press release.
According to Scott’s office, baby formula, beef, lettuce, rent, and sugar are all items with an over 5% price increase due to inflation.
However, it is energy, specifically gasoline, that saw the largest national increase, according to the CPI report.
The news could influence Biden’s ‘oil diplomacy’ decisions, not least of which is deciding whether to extend Venezuela’s oil sector sanctions relief, which expires April 18th.
Renewing sanctions on Venezuelan oil exports would raise domestic gasoline prices given OPEC production cuts have increased American reliance on alternative sources, such as Venezuela.
Biden, who had already been expected to not reinstate oil sanctions according to recent reports, may now be even more opposed to renewing sanctions.
