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Inflation Goes Up as Food and Rent Costs Rise

New data shows consumer prices climbing faster than expected, with housing and grocery costs hitting American wallets hard.

by TrueNorthNews
October 18, 2024
in Food & Drink, National News
0 0
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Inflation Goes Up as Food and Rent Costs Rise

Newly released inflation data from the U.S. Bureau of Labor Statistics reveals that prices rose faster than expected in September, putting more strain on American households. 

The Consumer Price Index (CPI) increased by 0.2%, indicating that inflation remains a persistent issue despite efforts to control it. While the year-over-year inflation rate of 2.4% is a significant improvement compared to recent spikes, Americans are still feeling the pinch, particularly when it comes to food and housing costs.

The rise in prices follows a recent decision by the Federal Reserve to cut interest rates, a move suggesting the Fed believes inflation is largely under control. However, experts caution that the rate cut may not be enough to keep inflation fully in check. “Disinflation continues, but anyone who thought the Fed was going to lower rates by another .50 basis points in November is dead wrong,” said Jamie Cox of Harris Financial Group in a statement reported by The Center Square.

⚠️US FOOD INFLATION IS BACK⚠️

Food prices rose by 0.4% month-over-month in September, the biggest jump since February 2023.

5 out of the 6 major grocery store food group prices increased with eggs jumping as much as 8.4%.

Over the last 4 years, US food prices SKYROCKETED 22.5% pic.twitter.com/ZL5Fyegn18

— Global Markets Investor (@GlobalMktObserv) October 13, 2024

Rent costs played a significant role in the inflation increase, but food prices also saw a notable jump, rising 0.4% in September—the largest increase since January. Grocery costs surged across multiple categories, with eggs seeing an 8.4% rise and fruits and vegetables increasing by 0.9%. Meanwhile, dining out has become 3.9% more expensive over the past year.

In addition to inflation concerns, the job market is feeling the effects of recent hurricanes. Initial jobless claims climbed to 258,000 in early October, higher than expected, with experts attributing the spike to the impact of Hurricane Helene.

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