Underlying Inflation Reaches Scorching New Record High

Breitbart ^ | 13 Sep 2022 | JOHN CARNEY

[Red Badger]

Two economic figures meant to capture underlying pricing pressures rose sharply in August, indicating that the economy is still experiencing a very high inflation.

The Federal Reserve Bank of Cleveland calculates both median inflation and “16 percent trimmed mean” inflation, measures that exclude outlier moves in prices that counted in the Consumer Price Index to reveal underlying inflationary pressures. Both showed that inflation accelerated in August.

The median Consumer Price Index, which reflects only measures in the center of CPI’s prices changes, rose 0.7 percent compared with the prior month, an acceleration from the 0.5 percent increase recorded in June. The unrounded figure of 0.73789 percent is the highest on record, slightly above the previous record of 0.73078 percent set in June.

This is equivalent to an annual rate of inflation of 9.2 percent. That is the highest on record.

Compared with a year ago, the median CPI is up 6.7 percent. That is also a record high in data that goes back to 1983.