Inflation remains stubbornly high

5.16.24 - Inflation remains stubbornly high

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How it started... How it's going: Home, energy, car bills way up thanks to inflation -Fox Business

Home, energy, car and childcare costs have all increased since President Biden took office and there is no end in sight as inflation remains stubbornly high.

The latest consumer price index (CPI) report showed inflation eased slightly in April, rising only 0.3% when economists had expected a 0.4% increase. President Biden welcomed news that core inflation "fell to its lowest level in three years," but acknowledged "we have a lot more to do."

"Prices are still too high - so my agenda will give families breathing room by building two million new homes to lower housing costs, taking on Big Pharma to lower prescription drug prices, and calling on grocery chains making record profits to lower grocery prices for consumers," Biden said in a statement.

He also criticized Republicans, claiming that GOP-supported tax cuts and spending reductions for Social Security and Medicare "would send inflation skyrocketing" - although Republicans have put forward no serious proposal to limit entitlement spending.

CPI is a broad measure of how much everyday goods like gasoline, groceries and rent cost. Contained in the Labor Department's report are figures for so-called core prices, which exclude the more volatile measurements of gasoline and food in order to better assess price growth trends. Biden celebrated that core prices only rose 0.3% in April and 3.6% from the same time last year - the lowest reading since 2021.

However, price increases at slower rates are still price increases, and Americans face far higher costs today than when Biden assumed office in January 2021.