to the federal reserve that the central bank is succeeding in its fight against inflation. let s get the latest on this with our north america business correspondent michelle fleury in new york. some relief after the roses that the inflation is coming down. it some relief after the roses that the inflation is coming down. inflation is coming down. it was the tenth month inflation is coming down. it was the tenth month in inflation is coming down. it was the tenth month in a inflation is coming down. it was the tenth month in a row inflation is coming down. it was the tenth month in a row that inflation is coming down. it was the tenth month in a row that inflationl tenth month in a row that inflation was slowing down and people are looking at it as a sign that perhaps the worst of the inflation crisis is behind us. the problem we have is that the battle is yet to be one because typically if you look at the federal reserve 2% target at 4.9%, we are behind that by a significant
and americans are starting to feel the benefits in their everyday lives. oh, yeah, right. and because the fed started raising rates too late and by too little, even nine straight hikes hasn t brought down inflation, but it did help cause the current banking crisis. well, they have that. a new poll out tonight by the associated press shows that only 10 percent of americans now have faith in our financial banking system. and look who can blame them. they see our economic growth is flatlining. the fed today predicted that this year our gdp will be a dismal point, four percent in next year. only one point two percent. both numbers are down from their earlier projections. so welcome biden s new economic normal, long lasting inflation ,a lower standard of living. so put that on a bumper sticker. i have to go to two stories.
seventh interest rate hike to tam many down inflation. the fed meats meets this wednesday just one day of a the med is set on the key measure on inflation. katherine, thanks for sharing part of your sunday morning with us. what will you be looking at most closely in that cpi report? in that cpi report what we really want to know is what s happening when you strip out gas prices and food prices. gas is very volatile. obviously we saw a huge run-up in gasoline prices over most of this past year and then in huge relief to consumers but what the fed cares about is the sort of less volatile, what they call could are component of of inflation. what s happening with shelters,
of the republican economic agenda, cutting taxes. they are ready to push it no matter what the actual problem is or whether it might even make the problem worse. democrats, the group of people currently on the defense here, they actually seem to have a plan for combatting inflation. some of which is already been put in place. they passed inflation reduction act, they ve taken executive actions, including releasing more energy from the strategic petroleum reserve to gas prices. and now they re going after corporate greed. last, week the two biggest oil companies in the u.s. reported over 30 billion, with a b, 30 billion dollars in combined profits. even as consumers are facing higher prices at the pump. in other words, big oil companies are using the specter of inflation and higher cost because of the war in ukraine to boost their own share price. this is not something republicans have been talking about. last, night president biden exclusively threat in those gas companies with a win
italy prices are up and grocery shelves are empty. the worst inflation in 40 years, home, heating groceries, gasoline, all through the roof. and exploding cost of living. our lives are dangerous and unaffordable. with just a week left to go until election day, republicans have found the closing message, inflation, inflation, inflation. there s just one problem with that message. republican don t really have a plan to deal with inflation, inflation, inflation. when asked by reporters about the plans for tackling that very problem, republicans have responded with a mix of deflection and confusion. this is what republican senate, mehmet oz told the philadelphia inquirer about what he would do to lower inflation. cut taxes for working families. boom. you got it. big problem there that cutting taxes while politically very popular, could very well make inflation worse by driving up consumer spending in pushing prices even higher. but that is almost the entirety