The U.S. continues to face rising inflation, but the negative effects on consumers are uneven.
As prices rise, inflation reduces purchasing power. It's expressed as a percentage and refers to rising prices across sectors, affecting food and energy.
The consumer price index measures the average change in prices paid by urban consumers for a market basket of consumer goods and services.
The CPI's annual percentage change peaked at 17.8% in 1917. During the 1970s and 1980s, inflation reached 13.5 percent in 1980.
The annual rate of inflation as of April, according to the CPI, is 8.3% over last year. According to the PCE, the rate of inflation is 6.6% over last year as of March 2022.
Inflation by SectorFoodIn the last 12 months, the average price of food at home rose 10.8%, according to CPI data released in May. This increase marks the largest 12-month rise since the period ending in November 1980.
HousingThe Zillow Observed Rent Index calculates the mean of 40th to 60th percentile rents for all homes and apartments in a given region. In March 2020, it was $1,609.
EnergyThe average price of gas rose 43.6% over the last 12 months, according to the CPI.Whether in gas, food or housing, rising prices may be attributed to a mismatch in demand and supply.