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The U.S. economy continues to suffer under the catastrophic leadership of the Biden White House.
The Dow Jones Industrial Average fell over 2.5% within an hour and a half of trading. The S&P 500 fell over 3.5% and the Nasdaq fell nearly 4%.
The combination of skyrocketing inflation and low economic growth is wreaking havoc on the economy. Runaway inflation hit 8.6% last month. This is a new four-decade high.
Real wages dropped by 3% due to the faster rate of inflation.
Americans continue to pay high energy prices at the pump. Gas has hit a record-high national average of $5 per gallon.
Joe Biden continues to avoid taking any responsibility or blame, referring to the problem as the “Putin’s Price Hike.”
Biden blames Russia’s invasion of Ukraine for causing the energy crisis despite the fact prices were skyrocketing long before the conflict.
Biden said, “Prices at the pump are a major part of inflation, and the war in Ukraine is a major cause of that. The United States is on track to produce a record amount of oil next year, and I am working with the industry to accelerate this output.”
“But it is also important that the oil and gas and refining industries in this country not use the challenge created by the war in Ukraine as a reason to make things worse for families with excessive profit taking or price hikes,’ he added.
The World Bank stated, “Global inflation is expected to moderate next year but it will likely remain above inflation targets in many economies.”
“If inflation remains elevated, a repeat of the resolution of the earlier stagflation episode could translate into a sharp global downturn along with financial crises in some emerging market and developing economies,” the statement continued.
More on this story via Daily Wire:
As the United States and other leading economies continued to face economic headwinds, the World Bank cut its 2022 global growth forecasts from 4.1% to 2.9% and warned of the “sharpest slowdown in 80 years.”
Last week on Wall Street was also marked by investors jettisoning their assets. The Dow had fallen 2.73%, the Nasdaq had dropped 3.52%, and the S&P 500 had fallen 2.91% by Friday afternoon.
Many economists are watching the Federal Reserve as it considers a faster rollback of its aggressive monetary stimulus. Although the central bank already introduced two interest rate hikes this year — 0.25% in March and 0.5% in May — a 0.75% rate hike may now be on the table.
— Advertisement — Polls consistently indicate that Americans are overwhelmingly worried about rising price levels. In a Harvard survey last month, 95% of respondents said inflation is “very serious” or “somewhat serious.” A plurality — 47% — said that the Biden administration is responsible.
An early May poll from The Washington Post and ABC News revealed that 94% of Americans were either “upset” or “concerned” about the impact of skyrocketing prices. President Joe Biden’s approval rating was underwater, with 42% of respondents approving of his work and 52% disapproving.
