The new numbers for May on the Consumer Price Index (CPI) are now showing that inflation skyrocketed in May to 5 percent well above most analysts’ expectations. Core CPI rose to 3.8 percent, the most since 1992.
As CNBC reports:
Consumer prices for May accelerated at their fastest pace in nearly 13 years as inflation pressures continued to build in the U.S. economy, the Labor Department reported Thursday.
The consumer price index, which represents a basket including food, energy, groceries, housing costs, and sales across a spectrum of goods, rose 5% from a year earlier. Economists surveyed by Dow Jones had been expecting a gain of 4.7%.The reading represented the biggest CPI gain since the 5.3% increase in August 2008, just before the financial crisis sent the U.S. spiraling into the worst recession since the Great Depression.
Used cars and truck prices continued their climb higher, rising 7.3% on the month and 29.7% for the past 12 months. The new vehicles index increased 1.6%, its biggest-single month gain since October 2009 and was up 3.3% for the 12-month period, the highest move since November 2011.
The numbers are terrible news for President Joe Biden as they reflect an economy that is heading off the rails and which may spell doom for his far-left plan to unleash an additional two trillion dollars in spending for ‘infrastructure.’