It's the second time in a week Fed policymakers have had their expectations foiled on a major piece of economic data: the economy added just 266,000 jobs in April, about one quarter the gain expected by Fed officials and many economists. In remarks to a National Association of Business Economics symposium, Clarida (File pic) called it the "biggest miss in history."
WASHINGTON: The twin surprises of weak jobs growth and strong inflation in April has not dented the U.S. central bank's plans to keep its support for the economy wide open, Fed vice chair Richard Clarida said on Wednesday, adding it will still be "some time" before the economy is healed enough for that to change.
The U.S. Labor Department on Wednesday reported that the consumer price index rose 4.2% in the 12 months through April. That was the largest gain since September 2008 and a number that Clarida said was "well above" what he had anticipated.
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