The U.S. Bureau of Labor Statistics released its June report and the numbers are not good.
The Consumer Price Index (CPI) rose 1.3 percent during the 30-day period, raising the overall inflation rate to 9.1 percent. That 12-month figure is the highest in 41 years, dating to November 1981.
The increase was broad-based as indices for gasoline, shelter and food being the largest contributors with energy up 7.5 percent, gasoline up 11.2 percent and food rising by a percentage point during the month.
President Joe Biden said in a statement released by The White House, “While today’s headline inflation reading is unacceptably high, it is also out-of-date. Energy alone comprised nearly half of the monthly increase in inflation. Today’s data does not reflect the full impact of nearly 30 days of decreases in gas prices, that have reduced the price at the pump by about 40 cents since mid-June. Those savings are providing important breathing room for American families.”
With price increases showing no signs of slowing, look for the Federal Reserve to continue raising interest rates to cool inflation. The trade-off? The central bank could steer the economy into recession.
John Fetterman, Democratic candidate for U.S. Senate, said in a press release that “Inflation hit another 40 year record high – just like it did last month. The price of gas, groceries, and just about everything has skyrocketed. Working families are paying more almost everywhere. I see it every time I go to Aldi’s or Giant Eagle. Things are way too expensive and it’s hurting people across the Commonwealth.”
“I am going to go to Washington to fight to bring down prices. We need bold action NOW to make more shit in America, fix our broken supply chains, and take on corporate greed to bring down the cost of everything, for everyone.”
His opponent – Republican Mehmet Oz – also responded in a statement, “Big news. Today’s record-breaking inflation number of 9.1% — that’s the highest in 40 years — is robbing Pennsylvania families of their income. Gas prices have doubled. It robs your real wages. That’s by the way, real wages, is what your hard work really buys. The decline in your real wages is worse than during the financial crisis. Think of that. Pennsylvanians deserve better than more failed career politicians. It’s time for change.”