Inflation Rising at 3.3%

Caught in the grip of soaring inflation, American households face a relentless struggle to stretch every dollar as prices surge beyond control.

Consumers nationwide received concerning updates as inflation persists well beyond the 2 percent mark. According to the Labor Department's announcement on Wednesday, the consumer price index (CPI), a comprehensive gauge of expenses such as fuel, groceries, and housing, remained steady in May compared to the previous month. However, prices surged by 3.3% compared to the same period last year. These figures fall short of the 0.1% monthly increase and the 3.4% overall rise projected by LSEG economists.

Another significant metric tracking the underlying inflationary trends within the economy showed a slowdown last month. Core prices, which exclude volatile items like fuel and food to offer a clearer picture of price trends, rose by 0.2% in May. Year-on-year, this metric climbed by 3.4%—marking the lowest level since 2021.

The persistent high inflation levels have placed considerable financial strain on many American households, forcing them to allocate more funds towards basic necessities like food and housing. This trend is especially burdensome for lower-income individuals, who already dedicate a larger portion of their limited income to essentials, leaving little room for savings.