Consumer prices rose to 9.1% over the past year—the biggest 12-month increase since 1981—according to a Wednesday report from the U.S. Labor Department.
That number also climbed from 8.6% in May. Shipping costs and commodity prices have lowered, but housing prices and the costs of necessities have increased. The national median home price rose by almost 15% over the past year, while the price for new leases rose by about 14%.
What happens next? The Federal Reserve is expected to raise key short-term interest rates yet again later this month by around three-quarters of a percentage point. More interest rate hikes will likely follow.
Federal Reserve Chair Jerome Powell said at a news conference last month that the central bank will wait to see a “series of declining monthly inflation readings” before slowing its rate hikes.
Meanwhile, 40% of adults, as of June, said the fight against inflation should be a major government priority—up from 14% in December.
This story originally appeared in WORLD. © 2022, reprinted with permission. All rights reserved.