How’s this for “transitory” infation?
The consumer price index (CPI) — a key measure of price inflation –proved what I’ve been saying for the last year. Prices are going up, up and away.
CPI exceeded expectations, rising 0.9% against the expected 0.5%.
The jump in the prices consumers pay for goods indicates that inflation is quite real (no matter what the White House and the Fed try to spin it.) Prices increased 5.4% year-over-year, far higher than the 4.9% economists anticipated, and a jump over May which had already jumped a massive 5%.
Inflation was mostly driven by spiking energy prices. CPI for energy rose by 24.5%. Items except for food and energy also rose a striking 4.5%.
5% inflation should have already sounded the alarm bells at the Fed, which continues to claim that the inflation is “transitory.”
And, at present, inflation shows no signs of slowing down.