Wall Street sign near the New York Stock ExchangeMOSCOW, Sep 18 The US Federal Reserve System (Fed) is not coping with the consequences of the crisis caused by the COVID-19 pandemic, which will obviously lead to a financial crisis, writes the American newspaper New York Post. are still unstable, and their largest clients are reducing operations,” the article says. According to the author of the article, the volume of traditional IPO transactions has fallen significantly, and in large investment houses, management is preparing in advance for layoffs. Many indebted companies will file for bankruptcy or sell off property. Jared Bernstein, a member of the White House Economic Council and adviser to the President of the United States, said earlier that the US authorities still have a lot of work ahead of them due to «uncomfortably high» inflation rates. Annual inflation in the country in August slowed down less than expected — to 8.3 percent. In early May, the Fed announced a gradual reduction in assets on its balance sheet for a period of three months. In parallel with this, the regulator raised the base interest rate several times. These steps were taken in an attempt to stem rising inflation and normalize monetary policy, which has suffered from the introduction of anti-crisis measures during the COVID-19 pandemic.
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