Janet Yellen Admits Regret Over 'Transitory' Inflation Claims

The U.S. Treasury Secretary acknowledges the duration of inflation exceeded initial expectations, marking a significant shift in her stance.

Janet Yellen, in an interview with FOX Business, expressed regret for previously describing inflation as 'transitory', admitting the term was misleading given the prolonged nature of inflation.
Inflation rates have seen a decline but remain above the Federal Reserve's 2% target, with the latest figures showing a 3.2% increase year-over-year in February.
Yellen's admission comes amid criticism from GOP senators, who attribute the inflation surge to the Biden administration's fiscal policies.
Despite the challenges, Yellen remains optimistic about the downward trend in inflation, particularly in the housing and rental markets, which are major contributors to overall inflation.
The Federal Reserve's interest rate hikes, aimed at curbing inflation, have raised concerns about a potential recession, though the possibility of a 'soft landing' for the economy is now being considered.