While inflation is severely hammering the Americans, the Senate voted 80-19 on Thursday, in favor of keeping Jerome Powell as the Federal Reserve chair for another term.
Although a majority of the Senate voted in favor of Powell, several senators from both sides voted against his confirmation as well. Notably, these were Sens. Richard Shelby (R-AL), Rand Paul (R-KY), Bernie Sanders (I-VT), Elizabeth Warren (D-MA), Jon Ossoff (D-GA) were among the 19 senators who voted against the motion.
Sen. Shelby stated that he voted no on Powell’s confirmation in the senate because Powell had not managed to combat the rising inflation or reduce the burden on the ordinary Americans. Shelby added that such failures should not be rewarded with another term.
Sen. Ossoff stated that he has a lot of respect for Powell and understood that his job was challenging given the current situation. However, he did discuss the impact an 8.3% inflation was having, not only on his constituents but other people as well.
Ossoff also highlighted that the Feds insisted earlier that inflation was only transitory and continued to make flawed policies even when it was apparent that the inflation was far worse than the projected numbers.
Rising inflation is deeply impacting all the Americans, and its effects are being felt through the soaring prices of everyday necessities. The purchasing power of the American consumers is falling drastically.
The Federal Reserve has been increasing the interest rates in order to fight the rising inflation. Earlier in May, the Federal Reserve raised the interest rates by 0.5% and the rates are expected to rise even more in the next months.
Moreover, the consumer price index data was released by the U.S. Bureau of Labor Statistics on Wednesday. The data revealed that the prices of most items increased by 8.3% for the last 12 months till April, which was slightly less than the 8.5% increase for the period till March.
Former President Donald Trump initially appointed Powell as the Federal Reserve Chair. Powell is getting his second term under President Joe Biden. Although his first term ended in February, Powell continued to serve as chair pro tempore.