By The FirstNew data from the Fed shows Joe Biden’s best efforts to crackdown on inflation are having little effect.
A report from CNBC shows inflation rising at 8.3% in April compared to the same period last year, a near 40-year-high.
From CNBC:
Inflation rose again in April, continuing a climb that has pushed consumers to the brink and is threatening the economic expansion, the Bureau of Labor Statistics reported Wednesday.
The consumer price index, a broad-based measure of prices for goods and services, increased 8.3% from a year ago, higher than the Dow Jones estimate for an 8.1% gain. That represented a slight ease from March’s peak but was still close to the highest level since the summer of 1982.
Removing volatile food and energy prices, so-called core CPI still rose 6.2%, against expectations for a 6% gain, clouding hopes that inflation had peaked in March.
The month-over-month gains also were higher than expectations — 0.3% on headline CPI vs. the 0.2% estimate and a 0.6% increase for core, against the outlook for a 0.4% gain.
The price gains also meant that workers continued to lose ground. Real wages adjusted for inflation decreased 0.1% on the month despite a nominal increase of 0.3% in average hourly earnings. Over the past year, real earnings have dropped 2.6% even though average hourly earnings are up 5.5%.
