The United States of America had year-on-year inflation of 6.2% for the month of October. Meanwhile, bitcoin keeps making history and continues to break its own market listing records.
While bitcoin consolidates itself with a new record of $ 70,000 per coin, inflation in the United States of America continues to rise. For the month of October, the annual inflation rate was 6.2%, the highest in the United States of America in 30 years.
The information got released this Wednesday, November 10 by the Bureau of Labor Statistics of the North American country, while local media highlighted that it is the highest percentage since November 1990.
Regarding this news, the president of the United States of America, Joe Biden, declared a total war against inflation. For the president, taking down and defeating the country’s inflation rates has become one of his government’s priorities.
The president said regarding the situation that, reversing this infamous trend is one of the top priorities for his administration. According to a report brought by CNN, the representative of the White House acknowledged that these inflationary levels are currently affecting the pockets of citizens.
Despite Biden’s statements, his economic policies do not seem to point in the same direction. Far from transforming and bringing changes to the economic course taken by his predecessor in the White House, Donald Trump, the new president has only reinforced the increase in public spending and monetary issuance, as his response to the crisis caused by the pandemic and the need to infrastructure and service improvements.
In fact, this weekend the Infrastructure Law (Infrastructure Bill) got approved, which contemplates a public expenditure of 1.3 trillion dollars. The destination of these funds will be some labor areas and other sectors such as transportation, the supply of drinking water, or broadband internet.
US Economy is Suffering and Bitcoin is Growing Stronger
The situation of the US economy turns more worrying and grey when compared to the performance of bitcoin this year. Since April, inflation in the North American country has not crumbled down below 4 points.
Bitcoin, meanwhile, has an outstanding increase of close to 350% so far this year, according to data from CoinGecko. The main cryptocurrency in the market has a current capitalization of more than 1.2 trillion dollars and many of the most recognized analysts in the industry are forecasting new highs before the end of this year.
The forecasts for the US economy, meanwhile, do not look so safe and promising. According to the Financial Times, an outstanding group of economists expected a subsequent decline in inflation rates, but the data that came to light this Wednesday seems to point at a very different scenario.
By: Jenson Nuñez
