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US inflation jumps 7% in December
The prices of goods and services in the US continue to rise at decades-unseen rates, jumping 7% in December compared to the same month last year – the seventh month in a row in which inflation has remained above 5%.
represents a blow to the news Biden Administration and the Federal Reserve, which recently described rising prices as a “transient” event triggered by supply chain issues stemming from the pandemic.
On Wednesday, the Labor Department said the Consumer Price Index (CPI) – which measures what consumers pay for a wide range of goods – rose 0.5% last month compared to November and 7% compared to December 2020.
Price increases in housing and used cars and trucks were the biggest contributors to the inflation rate, with prices rising by 0.4% and 3.5%, respectively, compared to November. Food prices also continued to rise, although the 0.5% jump in prices is not as high as the increase seen in previous months.
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