Testifying before Congress, Federal Reserve Chairwoman Yellen cherry picked data on inflation by noting prices are up, on a year-over-year basis, less than the Federal Reserve’s target of 2 percent.

The Labor Department’s Consumer Price Index has accelerated since March and was up 4.2 percent in May. Tuesday, it will release June data and while perhaps not quite so high, it likely will show inflation continued above 3 percent.

Once inflation gets out of control, history has shown it is difficult to contain without a steep and painful recession. Recognizing these dangers, Yellen’s cognitive dissonance will add new life to proposals in Congress to rein in the Fed’s independence.

A bill under consideration would require the Fed to submit to Congress a detailed strategy or rule for the Fed’s policy instruments—for example, targets for money supply growth, lending rates to banks, etc.—and essentially handcuff quick Fed responses to emerging crises.

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Read more:http://www.breitbart.com/Big-Government/...ds-Independence

Mr Yellen is a lying sack of shit. The whole economy is still a shambles and the only bright spot they cite is the DOW whish is only high because of corporate buy backs, not actual mom and pop investing. This guy Yellen is just as bad a Greenspan or Helicopter Ben.