📍The US inflation has become the biggest legacy of Powell's term.

📌From February 2018 to now, the US PCE has increased to 128.5 points, equivalent to +28.5%.
If it had followed the Fed's 2% target, this number would be around 117.4 points. The gap of over 11 percentage points is the portion of purchasing power being eroded.
📌In 2021, the US injected a massive QE package and kept interest rates at 0% for too long. Cheap money caused the prices of risky assets to skyrocket, while supply chains had not yet recovered.
By the time the Fed raised interest rates again, it still couldn't bring inflation back to previous levels.
📌The PCE has been above the Fed's 2% target for 60 consecutive months (since April 2021).
Powell once said "inflation is temporary," and although he admitted mistakes, the story of inflation in the US and globally will probably take a very long time to return to pre-Covid levels.
📌The PCE in March 2026 hit 3.5%, returning to the highest level since June 2023 despite a more than 2-year prolonged high interest rate cycle.
Americans may become wealthier because AI stocks keep hitting new highs. But the truth is, Americans are living through a more expensive period, with the weakest USD purchasing power ever, and the credibility of the Fed severely fractured.