The inflation rate is going down

Margaret Minnicks
InflationPhoto byregularguy.ethonUnsplash

The good news is that the inflation rate is going down. The bad news is that consumers don't feel it yet, and it might be a while before they do.

Inflation then

Back in June 2022, inflation hit a 40-year high of 9.1%. In November 2022, it was down to 7.1%. By December 2022, the Consumer Price Index (CPI) data confirmed that inflation had slowed down in most of the U.S. economy. The Labor Department also reported that the annual CPI was down to 6.5% in December coming after a sixth consecutive month's decline.

Therefore, there is little light at the end of the tunnel. Core CPI inflation, with the exception of food and energy prices, is what economists had projected.

Inflation now

Don't begin splurging on unnecessary items now. Even though inflation is cooling down, it is not at a temperature that will make a big difference. In fact, it is at a percentage that is barely noticeable.

According to data published by the U.S. Labor Department on January 12, 2023, the annual inflation rate for the United States is 6.5% for the 12 months that ended December 2022 after having risen to 7.1% previously. The next inflation update is scheduled to be released on February 14, 2023. It will reveal the rate of inflation over the 12 months ending January 2023.

Economists expect consumers to see a slight difference in prices other than food and gasoline. Gasoline prices were high. Then prices went down, but they are up again. People will have to continue to pay the high price of eggs and other foods for a while.

Some good and bad news

The good news is that the inflation rate of 6.5% today will go down to 3.2%. The bad news is that it won't be until the end of 2023, and it will still be higher than the Federal Reserve’s target of 2-2.5%.

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I love pop culture, movies, television, and entertainment. I keep up to date on the latest movies and television shows. I like sharing news about them. I also like sharing information about different foods and their health benefits. I have been a high school teacher and a college professor for over 50 years and an online writer for over 30 years. I have three degrees: BA in English and Literature, MA in Christian Education, and MDiv in Theology. Get to know me through my writing.

Richmond, VA

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