Inflation up for first time in a year in big blow to Biden
Inflation rose slightly to a 3.2% rate for the year ending in July, the first increase after a full year of declines.
Zachary Halaschak
Inflation rose slightly to a 3.2% rate for the year ending in July, the first increase after a full year of declines, the Bureau of Labor Statistics reported on Thursday in an update to the consumer price index.
Investors had expected a slight uptick.
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On a month-to-month basis, inflation was 0.2%, in line with expectations.
The Federal Reserve has been hiking interest rates for more than a year and had seen success in meaningfully bringing down inflation since the tightening cycle began in earnest last March.
The central bank’s target rate is now 5.25% to 5.50%, with the most recent rate hike, and perhaps its last, coming last month.
Meanwhile, “core inflation,” which strips out volatile food and energy prices, rose to 4.7% in the year ending in July.
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https://www.washingtonexaminer.com/policy/economy/inflation-ticked-up-to-3-2-in-july-in-setback-for-biden-and-fed