U.S. inflation rises to a three-decade record high of 6.2% last month, driven by supply constraints and strong consumer demand.
Source: U.S. Bureau of Labor Statistics.
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Consumers’ average inflation expectation for three years has remained at 4.2% in October. On a monthly basis, the consumer price index in the U.S. rose by 0.9% against the estimate of 0.6%.
The core CPI, excluding volatile food and energy prices, rose by 0.6% against the estimate of 0.4%. Annual core inflation expanded at a 6.2% rate compared to the 4% forecast.
Fuel oil prices rose by 12.3% for the month. Energy prices expanded 4.8% in October and were up 30% for the 12-month period.
Used vehicle prices rose again being a major contributor, increasing 2.5% on the month and 26.4% for the year. New vehicle prices rose by 1.4% and 9.8% for the month and the year respectively.
Shelter costs increased by 0.5% for the month and are currently up 3.5% on a YOY basis, signaling more reason for worries that inflation could persist more than policymakers expect.