Inflation in the USA continues to rise: 7.9 %

Inflation rates continue to rise. Now the latest official inflation rate in the US has been reported: 7.9%, up from 7.5% the previous month. This, in turn, shows that the US currently has a very weak currency in the form of the dollar. Prices had already risen massively even without the start of the war in Ukraine. In addition to gasoline prices, used cars or food have become particularly expensive. The price development in the U.S. is considered one of the bigger political problems of U.S. President Joe Biden. In the USA, there are so-called mid-term elections between the US presidential elections in the current year. Most recently, Donald Trump had blamed Biden for the high inflation rate in the US. Prices have been rising much more sharply than before for just under a year. A weaker dollar may also cause the euro zone, as an importing area for commodities traded in dollars, to face rising prices. Interest rates in the euro zone remain low following the recent ECB decision.

Inflation rate in the U.S. rises faster than it has in a very long time

“The significant rise in consumer prices in the U.S. continued in February. The inflation rate climbed from 7.5 to 7.9 percent, the U.S. statistics agency said Thursday.

Compared with the previous month, prices rose 0.8 percent in the last month of the year. Energy prices continue to be the strongest driver, rising 25.6 percent year-over-year (January: +27.0 percent). Food prices rose by 7.9 percent year-on-year (January: 7.0 percent), while all other prices increased by an average of 6.4 percent year-on-year (January: 6.0 percent). Among the price drivers were gasoline prices, which were up 38 percent year on year.

Used cars were about 41.2 percent more expensive than a year ago.”

Report with material from dts news agency

Photo: dollar bill, via dts news agency