We'd rather not be charting about inflation when there's so much else going on in the world, but when the data is doing something it hasn't done for more than 30 years, it's hard to ignore.
Consumer prices in the US are up more than 6.2% in the last 12 months — a reading last seen in December 1990. So if you just got a 5% pay rise, congrats, but also sorry — you're probably poorer in real terms than you you used to be.
Stuff that's gone up the most
Energy. Gasoline prices are up almost 50% on this time last year.
Used vehicles. Prices for second-hand cars and vehicles were up 26% year-on-year.
Food. Food as a category was up "only" 5%, but high-protein foods like meats. poultry, fish and eggs are up 12%.
So where do we go from here? Anyone who has taken ECON101 will tell you that the global central banks may need to raise interest rates from their historic lows. Anyone who took ECON102 will tell you that even if they do that, it will probably take time to filter through the economy. Inflation might be a little more permanent than expected.
