The annual inflation rate in the US accelerated to 7.9% in February of 2022, the highest since January 1982, matching market expectations. Energy remained the biggest contributor (25.6% vs 27% in January), with gasoline prices surging 38% (40% in January). Inflation accelerated for shelter (4.7% vs 4.4%); food (7.9% vs 7%, the largest since July of 1981), namely food at home (8.6% vs 7.4%); new vehicles (12.4% vs 12.2%); and used cars and trucks (41.2% vs 40.5%). Excluding volatile energy and food categories, the CPI rose 6.4%, the most in 40 years. Still, the surge in energy costs due to war in Ukraine is still to come. The inflation was seen peaking in March but the recent developments in Europe coupled with the ongoing supply constraints, strong demand, and labour shortages will likely maintain inflation elevated for longer. (Source: tradingeconomics.com/U.S. Bureau of Labor Statistics)
U.S. annual inflation climbs to 7.9% in February
11 Friday Mar 2022
Geoff Martin said:
The result of printing prosperity has arrived as expected by those with a brain.There is but one inflation,the increase in supply of currency or credit.Rising prices are the unavoidable result.