HIGHEST LEVEL SINCE 1981: U.S. Consumer Prices Rose 8.5% in March 2022
Posted on 04/12/2022
U.S. inflation just accelerated to 8.5% — a new 40-year high.
The Biden administration is trying to reel in wild U.S. inflation. The consumer price index (CPI) measures a wide-ranging basket of goods and services. The CPI jumped 8.5% from a year ago on an unadjusted basis. Essentially, U.S. inflation climbed 8.5% in March 2022, the highest level since December 1981. Rising prices in food, energy, and shelter costs helped account for the gain. Americans, especially, lower-income families are now forced to pay more for even basic goods. U.S. Labor Department officials said price increases for gasoline, shelter, and food were the largest contributors to inflation.
Importantly, the inability of U.S. wages to keep up with costs could add to inflation pressures.
Institutional investors are moving into U.S. residential assets to hedge against inflation.