Consumer prices are soaring in the United States. In October, selling prices jumped by 6.2%, the most it has been since 1990. A new Labor Department report said the consumer price index rose by 6.8% in November. According to statisticians, inflation in America is at a 39-year high. News reports across the country show evidence that the American cost of living is rising.
Many Americans believe inflation is threatening their financial security as wages stagnate. Many people see the effect of inflation when they visit the supermarket. Steaks saw the highest price jump of 24.9%, eggs cost 11.6% more, and cereal was 5% more than a year ago, per CNN Business.
The US FED reports say that labor shortages and supply bottlenecks play a role in inflation. But Senator Elizabeth Warren blames the corporate greed of supermarket chains. "Your company, and the other major grocers who reaped the benefits of a turbulent 2020, appear to be passing costs on to consumers to preserve your pandemic gains; and even taking advantage of inflation to add greater burdens."
Although America has high numbers, inflation is a worldwide issue. Consumers across the globe are paying more for goods and services. But the specific cause of inflation varies by country. Some reasons are unique to a country. Oil demand, price increases, and product shortages are reasons suggested by the BBC. In general, prices are rising. For example, in Europe, inflation was about 4.1%, the highest in 13 years.
To hedge against inflation, Kerr Financial suggests investments, real estate, and fixed interest rates.
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