U.S. Inflation on Brink of Hitting 40-Year High
WASHINGTON (Dispatches) - Consumer prices in the U.S. surged 6.8% year-on-year in November, which may be the highest since June 1982, analysts surveyed by DailyFX say.
It is also higher compared to October figures, when prices rose 6.2%.
Based on preliminary estimates, analysts say inflation in the U.S. accelerated to 5.2% in November from 4.5% a month earlier, fueled by a variety of factors from wage pressure and shortages of workers, to supply chain problems and high demand for goods. Combined with the rapid recovery in industries that were affected by the Covid-19 pandemic, these factors drove up prices for everything from energy to property.
U.S. President Joe Biden attempted to do damage control ahead of the report, releasing a statement late Thursday in which he drew attention to the recent declines in the prices of energy and used cars, seen as the two main drivers of inflation in the U.S. this year.