Inflation in America jumps to its highest level in 41 years

The US Bureau of Labor Statistics reported on Wednesday that US shoppers pushed up prices sharply for a variety of goods in June.
The Consumer Price Index, a broad measure of everyday goods and services related to the cost of living, rose 9.1% from a year ago, the highest pace since December 1981, and above analysts’ estimates of 8.8%.
Excluding the volatile food and energy prices, the core CPI rose by 5.9% compared to an estimate of 5.7%. Core inflation peaked at 6.5% in March and has been declining since then.
On a monthly basis, the core CPI rose 1.3%, and the core CPI increased 0.7%, compared to estimates of 1.1% and 0.5%.
Earlier this month, the US Commerce Secretary said there was a slowdown in US economic growth but no “serious recession” looming, expecting the economy to return to its traditional levels.
The inflation reading may prompt the Fed to adopt a more hawkish stance. The bank previously said that “to avoid higher inflation, interest rates may need to continue rising for a longer period, even if this results in slower economic performance, and this saw Treasury yields rise graphically again.”