US Inflation Breaks New Record in May as Energy Costs Relentlessly Soar

After briefly flatlining in April, it appears that US consumer prices jumped back into rhythm for the 24th consecutive month, throwing away any hope for team ‘transitory’ or ‘peak’ inflation.

Latest data from the BLS showed that CPI rose 1% between April and May to an annualized 8.6%— the highest since December 1981 and substantially higher than the 8.3% forecast by economists polled by Bloomberg. Core CPI also didn’t offer Americans any relief, rising by yet another 0.6% month-over-month to 6% from May 2021.

Looking under the hood, the relentless surge in energy costs showed no respite in May, rising 34.6% since last year to mark the biggest annual increase since September 2005. Indeed, all components noted record-breaking increases, with shelter, airline fares, used cars and trucks, and new vehicles also dominating last month’s inflation print.

But, the most alarming were the sharp increases in food costs, particularly for chicken, eggs, and milk. Good thing the average consumer doesn’t need any of those! Making the situation a whole lot worse, though, is the despairing decline in real average hourly earnings, which fell 3% in the past 12 months. So, the cost of things Americans are actually buying is outpacing the rise in their wages for the 14th straight month.

But, don’t worry, if Joe Biden said there is no unchecked inflation on the way, he MUST be right— after all, he is a government official.


Information for this briefing was found via the BLS and twitter. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Is Gold’s Bull Market About to Hit Junior Stocks? | Ken Armstrong – Westhaven Gold

Surge Battery Metals: The Nevada North Lithium PEA

Silver @ $36 & We’re Still 200M Oz Short | Paul Andre Huet – Americas Gold and Silver

Recommended

Goliath Resources Closes Out Funding Round With Total Gross Proceeds Of $27.1 Million

Silver47 Kickstarts 4,000 Metre Drill Campaign At Red Mountain Project

Related News

US Unemployment Rate Falls to 3.8%, Wage Growth Stagnates

The US labour market continued to show signs of strengthening, as nonfarm payrolls substantially surpassed...

Saturday, March 5, 2022, 03:14:00 PM

US CPI Cools Slightly in October, Real Wages Continue to Tumble

US consumer prices remained elevated in October, albeit at a moderate pace after a drop...

Thursday, November 10, 2022, 09:29:43 AM

Canada Sees Inflation Rise By 2.9% In January

The Consumer Price Index in Canada experienced a notable deceleration in January, rising by 2.9%...

Tuesday, February 20, 2024, 08:55:40 AM

High Interest Rates and Household Debt: A Ticking Time Bomb for the Canadian Real Estate Market?

The Bank of Canada is sounding the alarm on the impact of rising interest rates...

Wednesday, May 24, 2023, 06:17:00 AM

Rapid Pace of Rent Increases in the U.S. Seems to Argue for Aggressive Action by the Fed

The stock market is facing two main obstacles: 1) the global economic impact of the...

Tuesday, February 22, 2022, 03:41:00 PM