Bank of America CEO says the Fed's biggest challenge is power of US consumer | CNN Business

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Bank of America CEO Brian Moynihan said although he is relieved lawmakers reached a resolution for the debt ceiling, it is “not good for the United States to go through this”

The resolution “provided momentary momentum in the markets and allows us to face the real economic issues and real debt level issues ahead of us,” Moynihan told CBS’ “Face the Nation” on Sunday. Getting rid of the debt ceiling altogether is a “political question,” Moynihan said.

” Consumer spending for Bank of America customers is slowing down year-to-date. “That level is more consistent with a 2% growth economy and a 2% inflation economy, not a 4% inflation level economy,” Moynihan said. Though Friday’s strong jobs report sends “some confusing and ambiguous messages,” the reality is consumer activity is aligning with the Fed’s goals, Moynihan said. Other factors, such as bank failures, Treasury funding and the wider environment have slowed the economy down, he said.

 

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