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Fed Sees AI Boom Adding to Inflation Headache, but Others May Pay for the Medicine
Fed officials say AI spending is adding price pressure, while higher borrowing costs are expected to hit credit-dependent firms and households instead.
By Howard Schneider CLEVELAND, Oct 19 (Reuters) - The artificial intelligence boom, increasingly acknowledged at the Federal Reserve as helping drive inflation, has left central bankers faced with cooling the rest of the economy to lower price pressure...
The artificial intelligence boom, increasingly recognized by the Federal Reserve as a contributing factor to drive inflation, left US central bank authorities facing the challenge of slowing down the rest of the economy to reduce the pressures on prices amplified by a sector of big names like Amazon, Apple [...]