U.S. inflation rate cools slightly to 8.3%
The U.S. inflation rate cooled slightly to 8.3 per cent last month, down for the second month in a row after hitting a 40-year high of 9.1 per cent in June.
While the overall rate ticked lower, prices for many consumer goods and services continue to rise at a breathtaking pace, according to data released Tuesday by the U.S. Bureau for Labour Statistics.
Food prices have increased by 11.4 per cent in the past 12 months. That’s the fastest pace of increase for that category since 1979.
And while gasoline prices have come down steadily for 10 weeks in a row after spiking in the early days of the conflict in Ukraine, energy costs are still sharply higher than what they were this time last year.
The energy index is up by 23.8 per cent in the past 12 months. That’s down from 32.9 per cent last month.
Food and energy prices are often volatile, so policy-makers try to strip them out of the numbers to see what is happening with so-called core inflation for everything else. If food and energy prices are ignored, the U.S. inflation rate came in at 6.3 per cent for the month. That’s up from 5.9 per cent previously.