U.S. inflation rates are going back in time to reach levels not seen since the early 1980s.
Overall consumer Inflation was running at a 7.5% annual clip in January, according to the latest report from the Bureau of Labor Statistics (BLS). That 12-month increase was the largest since February 1982, according to the agency.
The energy index rose 27% over the last year, and the food index increased 7%, the report said.
The report said the monthly uptick in consumer inflation in January was 0.6%, with increases in the indexes for food, electricity, and shelter being the largest contributors to the rise. The food inflation index rose 0.9% in January following a 0.5% increase in December, according to the report.
The energy index also increased 0.9% over the month, with an increase in the electricity index being partially offset by declines in the gasoline index and the natural gas index, according to the report.
Focus on food
The BLS report said grocery food inflation index increased 1% for the month after rising 0.4% in December. Grocery food prices have increased 7.4% over the last 12 months.
Five of the six major grocery store food group indexes increased in January, with cereal and bakery products jumping 1.8%, dairy going up 1.1% and fruits and vegetables being 0.9% higher. For the 12-month period ending in January, fruit and vegetable prices increased 5.6%, according to the report. That’s less than half of the 12.2% inflation rate for meat, poultry, fish and eggs in the last year.
The restaurant/foodservice index rose 0.7% in January, and has jumped 6.4% over the last year, the largest 12-month increase since January 1982.
