Introduction

Russian expert Alexander Nazarov believes that the United States is heading towards a period of economic turmoil. This prediction comes after recent data showed a significant increase in inflation last month.

Inflation and Unemployment

According to Nazarov, the growth of inflation in the US will be unstable, and there may be some months where it slows down. He points to falling prices in China and Europe, which are experiencing a recession, as factors that could contribute to the slowdown. Additionally, rising unemployment in the US could also lead to a decrease in prices.

Expected Consequences

Nazarov predicts that a wave of bankruptcies will initially result in deflation and a reduction in demand. However, within a few months, there will be a decrease in the supply of goods and services, which will push prices higher. He expects a period of chaos where long-term trends can be predicted, but short-term events remain uncertain.

Inflation Data

Official data released on Wednesday revealed that annual US consumer price inflation increased to 3.7% in August, up from 3.2% in July 2023. This acceleration comes after a decrease from a 41-year peak of 9.1% in mid-2022, followed by a 3.2% increase in July.

Source

Source: RT