Inflation hit another 40+ year high last month as the consumer price index jumped up 9.1% over the calendar year. The CPI is a broad measure of goods and prices related to the cost of living in the U.S. The June numbers are a 1.3% increase from May’s inflation numbers.
Driving the higher costs is the price of oil, which is up almost 100%. Gasoline costs at the pump are up 60%, and food at the grocery stores has increased 10.4%. The rising costs are nearly a couple
“Among the few major component indexes to decline in June were lodging away from home and airline fares,” declared the report.
Given that they have less discretionary income to spend, Americans with modest or fixed incomes are hit hardest by the price increases.
The June numbers are a discouraging sign for the White House, whose administration previously called inflation a temporary or “transitory” phenomenon. In 2021, President Biden’s Treasury Secretary Janet Yellen called inflation “a small risk.”
Some economic experts and lawmakers point to the cause being the loose monetary policy by the Federal Reserve and the excessive spending of federal dollars in Washington, particularly during the COVID-19 pandemic.
President Biden called the June inflation report “unacceptably high” but added that it is “also out of date.” Biden pointed to lowering gas prices as not being factored into the CPI report and pointed to inflation as being a “worldwide event” that is not unique to America. Biden added that tackling inflation is his top priority.
“13 months ago, the Biden White House called inflation ‘transitory’ and predicted that it would be 2.1%,” wrote U.S. Rep. Ted Budd on Twitter. “It’s 9.1%. Make no mistake, the Biden administration has failed and everyday North Carolinians are paying the price.”
Budd is facing former NC Supreme Court chief justice and Democrat nominee Cheri Beasley to replace retiring U.S. Sen. Richard Burr in the U.S. Senate.
U.S. Sen. Thom Tillis echoed many of Budd’s complaints about President Biden’s handling of inflation and the impact it is having on families.
“This is the worst inflation we’ve seen in decades, and it’s crushing hardworking North Carolinians,” wrote Tillis. “The Biden administration’s only answer has been pushing for more wasteful spending that will make inflation even worse and cost Americans even more of their paychecks.”