President Biden said the United States has “never seen anything like Putin tax on both food and gas”, after the Department of Labor announced Friday that inflation hit a new four decades in May.
The Labor Department said on Friday that the consumer price indicator, broad measure of in price for convenience goods, including gasoline, groceries and rent, rose by 8.6% in maybe from year back. Prices jumped 1% in in one- month period from April. Both of these figures were higher than the 8.3% overall and 0.7% monthly growth projected by Refinitiv economists.
INFLATION REACHED 40-YEAR HIGH IN MAY, CONSUMER PRICES INCREASED 8.6%
This is the fastest pace of inflation since December 1981
President from the port of On Friday, Los Angeles said fighting inflation was its “top economic priority.” again laying the blame on War of Russian President Vladimir Putin in Ukraine for surge in Prices.
“Today I would like talk about my top economic priority, fighting inflation,” Biden said. “I understand that Americans are worried and they are worried.”
“We never saw anything like Putin tax on and food and gas,” Biden said.
The President said that America “can fight inflation from a position of strength unlike any other country in in world”, saying that any other country in in world “receives big bite and bite of inflation is worse than we are, in overwhelming majority of countries around world.”
“But don’t mistake about it, I understand that inflation real challenge for American families,” Biden said.
“Today’s inflation report confirm what’s in america already know— Putin price hike hits america hard”, – said Biden. – Gas prices at the gas station, energy prices and food prices take into account for half of monthly price has been increasing since May.
Biden said his administration “can continue to do everything we can to keep prices down.” for American people”but said ‘Congress’ must act.”
“I do everything in my power blunt Putin price go and bring down in cost of gas and food,” Biden said, advertising move coordinate release of global oil reserves to “increase supply” and “keep prices from rising even more.”
The President said his administration continues work bring down in cost of food and gas and “save families more money.”
“My dad used to say it’s all about standard of life, how you have a lot left in salary at the end of month, how much left do basic things,” Biden said. – So if you add up all that people need just do them – do everything from care of children to turn heat on, air conditioning on and all in a lot between them of How we can reduce their cost cost of life.”
McCarthy Blames Democrats for ‘Historic Disaster’ as Inflation Hits New 40-Year High
Biden said his administration called for reducing the cost of prescription drugs, which he says will “drastically affect well-being of each family.”
The Department of Labor announced this on Friday. price Growth Was Widespread: Energy Prices Rise 3.9% in May compared to the previous month, and are up 34.6% off last year. Petrol, on medium, costs 48.7% more what was it one year back and 7.8% more what was it in April. Overall, fuel prices jumped 16.9%. in May on monthly, promoting one-year increase to a staggering 106.7%.
In another troubling sign, housing costs – what’s the bill for rough one-third of CPI – accelerated in May, an increase of 0.6%. He marked the fastest one- monthly increase since 2004. Annual housing costs climbed 5.5%, the fastest since February 1991.
Product prices are also climbed 10.1% higher over in year and 1.2% over month, with greatest magnification in dairy products and related products (up 2.9%, the largest monthly increase since July 2007), soft drinks (1.7%), cereals and baked goods (1.5%), and meat, poultry, fish and eggs rose (1.1% ).
Hot inflation has created serious financial pressure for most US households that have to pay more essentials like food, gas and rent. This burden falls disproportionately on low-income Americans, whose already-stretched greatly affects wages. price fluctuations.
Rising prices are canceling out the significant wage growth seen by American workers. in recent months: Real average hourly earnings decreased by 0.6% in May compared to the previous month, as rising inflation eroded 0.3% total increase in wages, according to the Department of Labor. Annually, real earnings actually fell by 3% in May.
Rampant inflation has become a major political issue for Biden ahead of november by-elections, in which Democrats are expected to lose their already lean majority. Polls show that Americans consider inflation to be the biggest problem facing country — and that many households blame Biden for in price spike.
Hotter than expected, the report will be also have serious consequences for The Federal Reserve is probably strengthening series of aggressive rate hikes as central bank officials are trying to tame inflation. Politicians already raised the interest rate rate 50 basis points – double regular size – in Can and is expected to approve at least two more hikes of the same size in June and July.
Republicans take over on a report criticizing the president and his administration, as well as Democrats, for surge in expenses for American families.
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“President Biden and Speaker Pelosi denied economic realities for 17 months creating raging inflation. Americans don’t need hear spin from the Democrats that economy is in historical place’ and ‘America is starting to feel more like myself againHouse Minority Leader Kevin McCarthy told Fox News.
” reality is that prices continue to rise at an accelerating rate and Americans are paying $5 a gallon nationally despite Biden depleting our strategic oil reserves by 1 million barrels a day,” McCarthy continued. – Democrats should know that this is not the “incredible transition” that the president portrays, and yet they don’t have cost-cutting solutions.”
Megan Henny of Fox Business contributed to this report.