VONa Communications VONa Communications
    Facebook Twitter Instagram
     VONa Communications VONa Communications
    • Get In Touch
    Facebook Twitter Instagram
    SUBSCRIBE
    • Home
    • Politics
    • Business & Economy
    • Celebrity News
    • Sports
    • World News
      • Across Africa
      • US News
      • UK News
      • Europe
      • Asia News
    • More
      • Current Affairs
      • Education
      • Fashion
      • Press Release
      • Opinion
    • Qatar World Cup
     VONa Communications VONa Communications
    Home » US Inflation Falls To 8.5% In July As Gas Prices Reduce
    US News

    US Inflation Falls To 8.5% In July As Gas Prices Reduce

    Biyi LawrenceBy Biyi LawrenceAugust 10, 2022Updated:August 10, 2022No Comments2 Mins Read
    Facebook Twitter Pinterest LinkedIn Tumblr Reddit WhatsApp Email
    Share
    Facebook Twitter LinkedIn Pinterest WhatsApp Email

    The pace of price rises dipped in the US in July as gas prices eased bringing down the annual rate of inflation to 8.5%, still close to a multi-decade high but lower than the four-decade peak it hit in June.

    July’s figure, while still high, represents a significant fall from the annual rate of 9.1% recorded in June and will raise hopes that inflation has finally peaked in the US. It follows other indicators that have suggested price rises are finally moderating.

    But the report showed once again how broadly inflation has spread through the economy. After stripping out food and energy costs – which are highly volatile – prices climbed by 5.9% in the year to the end of July, matching last month’s reading.

    Gas prices have dropped sharply in the US after hitting a national average of $5 a gallon in mid-June. They now average just over $4 a gallon, up about $1 from the same time last year, according to AAA. Prices for other commodities including copper, wheat and corn have also dipped in recent weeks after rising sharply following Russia’s invasion of Ukraine.

    The labor department reported that the gasoline index fell 7.7% in July, offsetting increases in the food and shelter indexes. The food index increased 10.9% over the last year, the largest 12-month increase since the period ending May 1979.

    Energy and food prices are notoriously volatile and could still rise again. And prices are still rising for other essentials including housing and services such as healthcare, which may not fall as quickly as oil or corn.

    The dip in inflation will be a boon to the Biden administration which this week passed the $739bn Inflation Reduction Act in the Senate. The bill aims to tackle the climate crisis while lowering healthcare costs and raising taxes on large corporations.

    The bill passed shortly after the government announced the US had added 528,000 new jobs in July, far higher than expected and another boost to Biden.

    But the still hot jobs market, and the still high rate of inflation, mean the Federal Reserve is likely to continue raising interest rates as it attempts to bring inflation back down to its target rate of 2%.

    Guardian news

    US Inflation
    Biyi Lawrence

    Related Posts

    9-yr-old David Balogun Makes History, Emerges As One Of Youngest Ever High School Graduates In U.S

    February 7, 2023

    Nigerian Pastor’s Wife Shot 12 Times In America

    February 5, 2023

    PHOTOS: Anger, Hope For Police Reforms At Tyre Nichols’ Funeral

    February 2, 2023

    Leave A Reply Cancel Reply

    You must be logged in to post a comment.

    Follow Us
     VONa Communications
    Facebook Twitter Instagram YouTube
    • Contact
    • Authors
    © 2023© VONa Communications. All Rights Reserved

    Type above and press Enter to search. Press Esc to cancel.