Breaking: U.S. Consumer Price Index Surges 3.0% in June
Forecasted 0.1% Rise Far Surpassed
The Bureau of Labor Statistics (BLS) announced today that the U.S. Consumer Price Index (CPI) jumped 3.0% for the year ending June 2024, far exceeding the forecasted 0.1% increase.
The CPI measures changes in the prices of goods and services purchased by consumers. This latest increase marks the largest year-over-year jump since October 1990 and continues a trend of rising inflation in recent months.
Key Takeaways:
- The CPI increased 3.0% from June 2023 to June 2024.
- This is the largest year-over-year increase since October 1990.
- The CPI-W, which measures prices for urban wage earners and clerical workers, rose 2.9% over the last year.
- The core CPI, which excludes volatile food and energy prices, increased 2.6% year-over-year.
- The CPI report release date and time Thursday July 11 at 8:30 am
Underlying Factors
Several factors have contributed to the recent surge in inflation. These include:
- Supply chain disruptions due to the COVID-19 pandemic
- Increased consumer demand as the economy recovers
- Rising energy costs
Implications
The rising CPI has significant implications for the U.S. economy. It could:
- Erode the purchasing power of consumers
- Put pressure on the Federal Reserve to raise interest rates
- Slow down economic growth
The BLS will release the next CPI report on August 11, 2024.
For more information, please see the BLS website.
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