ALL NEWS

Consumer price inflation hit a new 40-year high in March

Apr 12, 2022, 7:42 AM | Updated: 8:15 am

A clerk weighs dried peppers for a customer inside Grand Central Market on March 11, 2022 in downto...

A clerk weighs dried peppers for a customer inside Grand Central Market on March 11, 2022 in downtown Los Angeles, California. - US consumer prices hit a new 40-year high in February 2022 as the world's largest economy continued to be battered by a surge of inflation, which the fallout from Russia's invasion of Ukraine is expected to worsen. (Photo by Patrick T. FALLON / AFP) (Photo by PATRICK T. FALLON/AFP via Getty Images)

(Photo by PATRICK T. FALLON/AFP via Getty Images)

 
Originally Published: 12 APR 22 08:31 ET
Updated: 12 APR 22 09:35 ET

(CNN) — America’s inflation problem didn’t abate in March. Prices kept creeping up, hitting a fresh 40-year high, data from the Bureau of Labor Statistics showed Tuesday.

The Consumer Price Index rose 8.5% for the year ended in March, not adjusted for seasonal swings. That outpaced February’s elevated reading of 7.9% and marked a level not seen since December 1981 when the CPI stood at 8.9%. Tuesday’s March data was slightly higher than the 8.4% economists had predicted.

Most of the March increase was driven by a jump in gasoline and food prices, which rose as the Ukraine conflict threw global commodities markets for a loop, as well as an upswing in housing costs.

Last month alone, US gas prices rose by more than 18%. Year-over-year, the price of gas soared by 48%.

Stripping out the more volatile food and energy categories, prices rose 6.5% over the 12-month period ended in March — the biggest jump since August 1982.

Energy costs soared 32% over the last year, while food prices rose by 8.8%. It was the biggest increase in food prices since May 1981.

Even though these more volatile items contributed so much to last month’s price hikes, Tuesday’s numbers also show that inflationary pressures are broad across the economy, said Joe Brusuelas, chief economist at RSM US.

“Yes, inflation may soon find its peak. However, that does not imply significant relief is on the way in the near term,” he said.

“Price shocks continue to cascade through the US economy. The risk of further oil and energy shocks given the war in Eastern Europe and the possibility that the European Union may choose to cut off natural gas and oil imports from Russia … would significantly roil global oil prices,” Brusuelas said in a note to clients.

For the month of March, consumer prices rose 1.2% with seasonal adjustments, the biggest jump since September 2005. Excluding food and energy, prices rose 0.3% — less than in February, underlining how big a factor commodity prices are in the current inflation spike.

Airline tickets, furniture, medical care and motor vehicle insurance also increased in price.

“The good news here is that core inflation slowed on a month-on-month basis,” wrote Brian Coulton, chief economist at ratings agency Fitch, in emailed comments. Most of that decline can be attributed to falling car prices, he added.

This is a developing story. It will be updated

The-CNN-Wire
™ & © 2022 Cable News Network, Inc., a WarnerMedia Company. All rights reserved.

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

All News

cellphone schools...

Peter Johnston

Bill that would remove competency test requirement for teachers looks ready to pass

Currently, those pursuing a teaching license in Utah are required to pass a classroom management test. However, it could disappear from Utah's teaching licensure requirements if a bill passes the Senate this week.

21 minutes ago

Pro-Palestine rally
Caption:	Supporters of the campaign to vote "Uncommitted" hold a rally in suppo...

Gregory Krieg and Eric Bradner, CNN

What to watch for in the Michigan presidential primaries

The Michigan primary takes place on Tuesday Feb. 27, 2024. President Joe Biden and former president Donald Trump are expected to win.

1 hour ago

Cars drive on I-80 with a snowy mountain backdrop after snowstorms hit the Wasatch Front throughout...

Adam Small

Overnight storm clearing out but another storm is on the way

The overnight storm that hit northern Utah has mostly cleared however, another storm expected this weekend.

2 hours ago

Rebecca Bistany remains locked out of her husband Paul's iPhone, nearly a year and a half after his...

Samantha Murphy Kelly, CNN

Making your online accounts accessible when you die

A password management company says we each person have an average of 100 online accounts, what happens to them?

2 hours ago

Utah's avalanche danger has been dangerous for the last week, with the Utah Avalanche Center report...

MICHAEL HOUCK, KSL-TV

Skier severely injured following avalanche near Little Water Peak

A skier was injured after being caught in an avalanche on Monday Feb. 26. The skier was hoisted to safety.

3 hours ago

After starting the new year with poor air quality, Utah may finally be able to take a breath and fi...

Heather Peterson

New black carbon sensor is more portable but just as accurate, study finds

A new study from the University of Utah finds that recently released black carbon new units are just as accurate in detecting black carbon, but they are more portable and affordable.

4 hours ago

Sponsored Articles

Mother and cute toddler child in a little fancy wooden cottage, reading a book, drinking tea and en...

Visit Bear Lake

How to find the best winter lodging in Bear Lake, Utah

Winter lodging in Bear Lake can be more limited than in the summer, but with some careful planning you can easily book your next winter trip.

Happy family in winter clothing at the ski resort, winter time, watching at mountains in front of t...

Visit Bear Lake

Ski more for less: Affordable ski resorts near Bear Lake, Utah

Plan your perfect ski getaway in Bear Lake this winter, with pristine slopes, affordable tickets, and breathtaking scenery.

front of the Butch Cassidy museum with a man in a cowboy hat standing in the doorway...

Bear Lake Convention and Visitors Bureau

Looking Back: The History of Bear Lake

The history of Bear Lake is full of fascinating stories. At over 250,000 years old, the lake has seen generations of people visit its shores.

silhouette of a family looking over a lake with a bird in the top corner flying...

Bear Lake Convention and Visitors Bureau

8 Fun Activities To Do in Bear Lake Without Getting in the Water

Bear Lake offers plenty of activities for the whole family to enjoy without having to get in the water. Catch 8 of our favorite activities.

Wellsville Mountains in the spring with a pond in the foreground...

Wasatch Property Management

Advantages of Renting Over Owning a Home

Renting allows you to enjoy luxury amenities and low maintenance without the long-term commitment and responsibilities of owning a home.

Clouds over a red rock vista in Hurricane, Utah...

Wasatch Property Management

Why Southern Utah is a Retirement Paradise

Retirement in southern Utah offers plenty of cultural and recreational opportunities. Find out all that this region has to offer.

Consumer price inflation hit a new 40-year high in March