Biden Apologizes to Peter Doocy But Hot Mic Gaffe Makes it into White House Transcript

[DallasNE]

24. While I Fully Expected Inflation In Areas

Affected by the supply chain problems I did not expect the inflation to broaden out as it apparently has. On the other hand, that was based on the vaccinations bringing Covid under control but because prolonging Covid could prolong the inflation challenge. Corporate earnings are expected to come out shortly and if they are strong, it would suggest some price gouging has taken over. Indeed, within the last 10 days or so I have seen bananas go from 38 cents a pound to 72 cents a pound. Inflation is too hot to be driven by either demand pull or cost push except in sectors such as chips manufacturing. It is more like expectations are driving this rather than actual market conditions.