A potential slowdown in inflation, the Treasury Secretary’s assertion that the White House’s legislative agenda will help curtail inflation, slower consumer spending, and the awardees of an SBA grant program are among the top business news items this morning.
The Personal Consumption Expenditures price index, the inflation measure preferred by the Federal Reserve, climbed 4.4 percent from the previous year in September. Prices were up 0.3 percent on a monthly basis, potentially indicating a slowdown in inflation even if it has persisted longer than Fed officials expected.
Treasury Secretary Janet Yellen says the Biden administration’s major legislative efforts on infrastructure, social policy, and the environment will help curtail inflation by reducing costs on households. Yellen said the bill will expand economic growth potential by lowering child care and health care expenses.
Consumer spending increased 0.6 percent in September, a slower gain compared to the previous month’s growth of 1 percent. Factors such as the spread of the COVID-19 Delta variant, supply chain issues, and lower personal incomes due to the expiration of enhanced federal unemployment benefits contributed to the slowdown.
The U.S. Small Business Administration has announced the recipients in its Community Navigator Pilot Program. Fifty-one organizations will share $100 million in funding to help connect disadvantaged business owners with government resources.