The Fed is struggling between rising prices and employment targets

U.S. inflation rose to 2.9% last month, fueled by rising housing, transportation and services costs, sparked concerns about monetary policy. Supply chain problems, strong demand and wage growth are one of the reasons for rising inflation. The Fed faces challenges in balancing price stability and employment, which may have implications for future interest rate decisions. As the cost of living increases, consumer confidence declines, prompting companies to adjust their pricing strategies. Economists are arguing whether inflation is temporary or structural.