[President of the Federal Reserve Bank of St. Louis: High inflation is caused by supply shocks and artificial intelligence] On November 6th, Alberto Musallem, President of the Federal Reserve Bank of St. Louis, said that officials need to be alert to the risk of artificial intelligence (AI) infrastructure construction exacerbating inflation in the short term. "In terms of the current high inflation, I think there are both negative supply shock factors related to the Middle East and demand factors related to the construction of AI," Musallem said at an event in St. Louis on Friday. Musallem said he is "optimistic" about AI and expects AI to increase productivity, but policymakers cannot wait until those benefits materialize before acting. He said: "We need to formulate monetary policy based on current economic conditions. We cannot formulate monetary policy today based on what the economy may look like five years from now." Mussallem said: "My judgment is that in the next 18 months, data center construction will still increase inflation to a certain extent."