Larry Kudlow destroys Fed Head Jay Powell on oil prices.
The Daily Caller reported:
Fox Business host Larry Kudlow blasted Federal Reserve Chairman Jerome Powell for what he said was “one of the goofiest answers” regarding oil prices Wednesday.
Powell spoke at a press conference after the Federal Reserve did not increase interest rates, but left them at a 22-year high, where he was asked by Fox Business reporter Edward Lawrence about rising oil prices, and said that rising oil and gas prices affected consumer sentiment. “Oil prices are heading to $100 a barrel, gasoline moving back to $4 a gallon, top line inflation has been going up, not down in recent months because of the oil shock,” Kudlow said prior to playing the exchange between Lawrence and Powell.
“The Federal Reserve has a history of accommodating or monetizing oil shocks especially in the 1970s but also including the early 2000s. So now the latest shock is a fed challenge,” Kudlow continued. “However, today at his press conference Fed head Jay Powell never mentioned the oil shock, except when our great reporter Edward Lawrence asked a question about it. Now take a listen, please, to one of the goofiest answers you’re ever going to hear on this subject.”
See Kudlow below:
Oil and food are taken out of inflation measurements to prevent the average American from seeing the real costs of inflation.