Inflation continues in the United States, and last month (August) Americans saw an unexpected increase in prices of consumer goods and services, with rents and groceries.
According to IRNA, the U.S. Labor Department announced Tuesday, local time, that the consumer price index rose 0.1 percent last month (August) after remaining stable in July. Meanwhile, economists had predicted that this index would decline by 0.1 percent. In the 12 months ending August, the consumer price index rose 8.3 percent, according to the report. The annual index reached 9.1 percent in June, the largest increase since November 1981. Despite falling gasoline prices, U.S. spending on rent and food continues to rise, convincing the Federal Reserve to move to raise interest rates again. U.S. inflation has risen at nearly the fastest pace in 40 years this year, leading to skyrocketing consumer spending and higher costs for food, rent, medical care and other essentials, putting catastrophic pressure on low-income segments. Meanwhile, according to a Goldman Sachs survey of more than 1,500 small businesses by Goldman Sachs 10,000 Small Business Voices, 97 percent of small business owners say inflationary pressure is similar or worse than three months ago. In addition, 65 percent of them have raised prices to compensate for higher costs, and 38 percent say they have seen a drop in demand from their customers due to higher prices. Inflation and economic pressure on the American people come as Joe Biden’s administration has contributed about $15.2 billion to Ukraine since the beginning of the war in Ukraine.