US inflation surges again in June, raising risks for economy

The government’s consumer price index soared 9.1% over the past year, the biggest yearly increase since 1981, with nearly half of the increase due to higher energy costs.

“Everything goes up, including cheaper items like store brands,” said Freeman, who visited a food bank near Atlanta this week to try and gain control of her grocery costs. In recent months, as Covid fears have receded, consumer spending has gradually shifted away from goods and toward services, resulting in higher prices for vacations, restaurant meals and entertainment.

In addition, shipping costs and commodity prices have begun to fall, and pay increases have slowed. Surveys show that Americans' expectations for inflation over the long run have eased — a trend that often points to more moderate price increases over time. “There may be some relief in the July numbers — commodity prices have come off the boil, at least — but we are a very, very long way from inflation normalizing, and there is no tangible sign of downward momentum,” said Eric Winograd, an economist at asset manager AB.

Thanks Biden.. yes it's his fault

Loans Loans Latest News, Loans Loans Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Surging Gas Prices Likely Drove US Inflation to 40-Year HighU.S. inflation likely reached a new 40-year high in June, driven up by a spike in gas costs, more expensive food and rent, and pricier cars and hotel rooms. A government report Wednesday is expected to show that consumer prices soared 8.8% in June compared with a year earlier, according to data provide FactSet. That would be an increase from 8.6% in May and the biggest yearly rise since December 1981. Inflation at that level would make it highly likely the Federal Reserve will implement another large interest rate increase at its next meeting in two weeks. Higher rates are intended to cool consumer and business spending and slow the economy and inflation. Bull Price ceiling folks. If we don’t control gas prices now then this will bring down our economies. Just look at what happened in the mid-70s, early 80s and 2008.
Source: nbcchicago - 🏆 545. / 51 Read more »