The inflation rate in the U.S. rises by 3.2% after 12 months of decline. However, this excludes the volatile food and energy prices.
July inflation rises by 3.2% (Photo: National Apartment Association)
The inflation rate in the U.S. rises by 3.2% in July
According to the latest report released by Sentinel, the inflation rate in the U.S. rises by 3.2% last month, specifically in July. As per the government’s confirmation, this rise in consumer prices was reflected in the overall inflation rate, which surged by 3.2%. This development marks a significant shift in economic trends and highlights the need for continued monitoring and analysis to ensure a stable financial landscape.
The core inflation figures were closely observed by economists and investors alike as they sought to gather insights on potential trends and indications of where inflationary pressures may be headed in the near future.
The core inflation rate has maintained a consistent level of 0.2% for the months of June and July.
The inflation rate in the U.S. rises by 3.2%, Excluding Food and Energy Prices
According to a Politico report, the Fed is considering the recently released price data to determine whether to increase interest rates. Inflation has resulted in the Fed raising its benchmark rate 11 times since March 2022. Overall prices increased by 0.2% in July, primarily due to higher housing costs. Core prices, which exclude shelter, actually decreased by 0.1% from June to July. Food prices experienced a mild increase of 0.2% from June to July and have risen by 4.9% over the past year. Used vehicle prices have fallen for the second consecutive month but are still 5.6% more expensive than a year earlier.
As the September meeting draws near, the Federal Reserve officials are gearing up to review not just one but two Consumer Price Index (CPI) figures along with their preferred inflation measurement. Additionally, the anticipated August jobs report is expected to confirm that the Fed’s previous rate hike from July will be the final one. Traders and market analysts alike are predicting that there will be no further rate hikes by the Fed in the upcoming month.
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