on bringing inflation back down to our 2 percent target. i am heartened to see measures of medium - to long - term inflation expectations falling in the surveys from the new york fed and the university of michigan. although those declines may partly reflect falling gasoline prices, they provide some evidence that inflation expectations are well anchored. 1 / 5 bis - the data on actual inflation, however, have showed a slower decline than i had anticipated, and i am seeking to better understand the reasons. i am focused on the lag between signs of easing price pressures and actual inflation coming down from its very high levels. much of the surge in inflation over the past year was rooted in the incomplete recovery of aggregate supply from pandemic - related shutdowns. global supply chain disruptions had especially wide - reaching effects. this year, russia's invasion of ukraine sparked a surge in energy prices and affected global food markets both directly, by reducing shipments of commodities such as grain, and indirectly, by, for example, curtailing fertilizer production. in recent months, some of the upward pressure from those forces has begun to wane. supply bottlenecks appear to be easing, and global oil and commodity prices have declined. this largely reflects worsening global growth prospects, notably in europe, which is suffering from the reduced flow of russian natural gas, and in china, with its zero - covid policy and property - sector difficulties. u. s. gasoline prices have fallen more than $ 1 per gallon since june, reflecting the fall in oil prices and refinery margins and helping to slow the monthly increases in headline consumer prices. however, core prices - those excluding food and energy - have continued to rise rapidly. in particular, inflation in core goods prices has been surprisingly strong, in part because the elevated demand for goods we saw during the height of the pandemic has taken longer to abate than previously anticipated. still, there are reasons to expect core goods inflation to slow in coming months. wholesale used vehicle prices have declined considerably, but there is some uncertainty about how long it will take for that decline to show up in consumer prices. similarly, new car prices should moderate over time as production of new vehicles continues to ramp up. overall, a broad range of goods have seen declines in supplier delivery times and freight prices. and core import prices have fallen in each of the past four months, driven by lower commodity prices and an appreciating dollar. although supply constraints in goods appear to be easing

. we want to be more open about our assessment, but great care has to be taken to avoid a situation where revelations about emerging concerns lead to acceleration of those concerns and becomes a self - fulfilling prophecy. as i look forward and ponder the forces that are shaping the evolution of the global financial system, the fsb is currently grappling with two issues — financial innovation and market fragmentation — that have the potential to profoundly affect financial stability, so let me start there. owing to our forward - looking orientation, the fsb has been actively engaged in monitoring financial innovation for some time. starting a little over five years ago, there was an explosion of 4 / 6 bis central bankers'speeches financial innovation that had a technological component, which we now call fintech. this encompasses peer - to - peer lending, cryptocurrencies like bitcoin, and the use of new techniques like artificial intelligence and machine learning. in 2017, the fsb issued a report on the implications of fintech for financial stability. the report was careful to note the potential benefits of many of these innovations, including the possibility of greater financial inclusion and increased speed of financial transactions. however, the report also drew attention to several supervisory and regulatory issues, including three priorities where international collaboration is critical : managing operational risk from third - party service providers, mitigating cyber risks, and monitoring macrofinancial risks that could emerge as fintech activities increase. 1 more recently, one particular area of fintech has received a lot of attention — stablecoins. these are a type of crypto - asset that attempts to address the volatility of some crypto - assets by tying their value to conventional assets, such as the value of the u. s. dollar or a basket of currencies. while it hasn ’ t been created yet, it is facebook ’ s proposal for a new stablecoin that significantly increased the public ’ s attention to stablecoins. at the fsb, we undertake regular monitoring of the financial stability implications of crypto - assets, and we have had discussions about the regulatory and supervisory approaches to crypto - assets and potential gaps in regulation. the introduction of stablecoins, however, brings a potentially new scale and scope that the financial regulatory community must carefully consider. although there is a small risk to financial stability today, there is no doubt the potential scale of stablecoins and other crypto - assets yet to emerge may pose regulatory challenges. at present, the