US consumer prices surge in June by the most since 2008

Associated Press ^ | July 13, 2021 | Christopher Rugaber

[Olog-hai]

Prices for U.S. consumers jumped in June by the most in 13 years, evidence that a swift rebound in spending has run up against widespread supply shortages that have escalated the costs of many goods and services.

Tuesday’s report from the Labor Department showed that consumer prices in June rose 0.9% from May and 5.4% over the past year — the sharpest 12-month inflation spike since August 2008. Excluding volatile oil and gas prices, so-called core inflation rose 4.5% in the past year, the largest increase since November 1991.

The pickup in inflation, which has coincided with the economy’s rapid recovery from the pandemic recession, will likely intensify a debate at the Federal Reserve and between the Biden administration and congressional Republicans about how persistent the accelerating price increases will prove to be.

The Fed and the White House have made clear their belief that the current bout of inflation will prove temporary. …

[EastTexasTraveler]

It is really the worst inflation since 1980! When calculated the same way as before 1980, the current inflation rate is around 13%. It will get MUCH worse.