Inflation Data Shocks Economists As Prices Continue to Climb

The costs of goods and services, according to the CPI, advanced 0.1 percent in August and are up 8.3 percent in the last 12 months. According to a release accompanying the data, “increases in the shelter, food, and medical care indexes were the largest of many contributors to the broad-based monthly all items increase” seen in August while “the food index continued to rise, increasing 0.8 percent over the month as the food at home index rose 0.7 percent and “the energy index fell 5.0 percent over the month as the gasoline index declined, but the electricity and natural gas indexes increased.”

Meanwhile, the energy index jumped in August — as the northern hemisphere prepares for cooling temperatures and the need for more energy to heat homes and businesses — to an annual inflation rate of 23.8 percent. What’s more, the food index jumped 11.4 percent in the last 12 months, the largest jump since May 1979.

Townhall Inflation Data Shocks Economists As Prices Continue to Climb