Isn’t it nice to have something you can rely on? As you may have noticed, the country is in the midst of attempting to recover pandemic-related financial losses with higher prices for everyday consumer goods. If you found this a comforting way to reflect on spending and the fluctuating definition of worth, I have good news. It seems prices are still rising, and it is unclear when they will stop.
The Bureau of Labor Statistics reported Wednesday that its consumer price index rose 5.4 percent in July, from last year, and 0.5 percent from June; 0.3 percent when excluding food and energy. The increase matched the largest rise since August 2008. While the rise is only slightly higher than economists expected (which was 5.3 percent), it is all, um, higher than … otherwise. Let me quote the Times, “The monthly figure did represent a moderation in the pace of increase — the C.P.I. rose 0.9 percent in June from May — but inflation is still faster than is typical.”
Fed chairman Jerome Powell said, in June, that the rise was temporary and largely tied to areas of post-pandemic increase like air travel and used cars, saying, “the incoming data are very much consistent with the view that these are factors that will wane over time and then inflation will then move down toward our goals.”
I don’t know. At least we have more pressing things to worry about while we wait and see. :)