President Joe Bident tried to spin away the awful inflation numbers released by the Labor Department today but he failed. In truth, there is nothing he can say and little he can do to try to get skyrocketing inflation under control.
The numbers show that the U.S. inflation rate hit a 40-year high in January, with prices rising 7.5 percent from last year. The consumer price index for all items rose 0.6% in January (which drove up annual inflation by 7.5%).
Biden issued a statement that said: ‘While today’s report is elevated, forecasters continue to project inflation easing substantially by the end of 2022. And fortunately, we saw positive real wage growth last month, and moderation in auto prices, which have made up about a quarter of headline inflation over the last year.
“We separately saw good news with new unemployment claims continuing to decline. That’s a sign of the real progress we’ve made in getting Americans back to work over the last year.
“My administration will continue to be all hands on deck to win this fight. We will continue to rebuild our infrastructure and manufacturing, so we can make more in America and strengthen our supply chains here at home.
“We will continue to fight for costs in areas that have held back families and working people for decades, from prescription drugs to child care and elder care to their energy costs.
“And we will continue to promote more competition to make our markets more competitive and give consumers more choices.”
The consumer price index for January, which measures the costs of dozens of everyday consumer goods, rose 7.5% compared with a year ago, the Labor Department reported Thursday
That compared with Dow Jones estimates of 7.2% for the closely watched inflation gauge. It was the highest reading since February 1982.
Stripping out volatile gas and grocery costs, the CPI increased 6%, compared with the estimate of 5.9%. Core inflation rose at its fastest level since August 1982.
The monthly CPI rates also came in hotter than expected, with headline and core CPI both rising 0.6%, compared with the estimates for a 0.4% increase by both measures.
BREAKING: Inflation soared over the past year at its highest rate in four decades, hammering America’s consumers and wiping out pay raises. The Labor Department said that consumer prices jumped 7.5% last month compared with 12 months earlier. https://t.co/gZUkbqb54R— The Associated Press (@AP) February 10, 2022
The 7.5% increase in consumer prices in January was the steepest year-over-year increase since February 1982. The report will intensify pressure on the Fed to raise interest rates to try to slow the economy. https://t.co/H6pSU4aMUt pic.twitter.com/nA1FKTpBKi— The Associated Press (@AP) February 10, 2022