Numbers don’t lie. Most Americans know that prices have surged on almost everything they buy and need, and new data shows that annual inflation in the US rose to 8.6 percent in May. That is the highest level since 1981.
The Labor Department released some pretty sobering news. The consumer price index was up 1 percent last month. Food and energy prices are soaring, driving the annual inflation increase. Gas prices are up 49% from a year ago, and groceries have soared 12%.
Here’s some more sobering news; judging by what happened in the stock market Friday, inflation has not peaked yet. The figures put out on Friday led many Wall Street analysts and traders to believe that the Federal Reserve might continue raising interest rates through September, and on that news, the Do dropped 700 points when the markets opened.
Back in December, Joe Biden made a bold claim that inflation had peaked. It would be impossible for someone to be more wrong. He will be appearing at the Port of Los Angeles to most likely self-congratulate himself for his work in relieving the supply chain chaos the world was stuck in earlier this year.
Food prices have risen for a number of factors, including the high cost of diesel fuel that affects truckers and the fallout from Russia’s invasion of Ukraine.
The national average for a gallon of gas is now $4.37, according to AAA, and you can expect it to go much higher this summer. The all-time record high for gas prices was the inflation-adjusted price of $5.40. When Biden was Vice President of the United States.