An explosion in the cost of gasoline, food and housing catapulted inflation to its highest peak in 40 years in the United States in June, almost guaranteeing that the United States Federal Reserve will announce another hike in its policy rate.
The consumer price index jumped 9.1% from a year ago, the US government announced on Wednesday.
This is the biggest 12-month increase since 1981, and even bigger than the 8.6% increase reported in May.
On a monthly basis, prices rose 1.3% from May to June, compared with 1% from April to May.
However, some analysts believe that inflation could be on the verge of plateauing, if it hasn’t already. For example, they point to the recent decline in the cost of gasoline, transportation and basic commodities.