Last month the Producer Price Index set a record high. This month they broke that record. This is the highest measurement of inflation ever.
Last month the Producer Price Index (PPI) broke its all-time highest increase on record reaching 9.6%.
Yesterday, the results for December for the PPI were released and they broke last month’s record.
According to the US Bureau of Labor Statistics:
The Producer Price Index for final demand increased 0.2 percent in December, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This rise followed advances of 1.0 percent in November and 0.6 percent in October. (See table A.) On an unadjusted basis, final demand prices moved up 9.7 percent in 2021, the largest calendar-year increase since data were first calculated in 2010.
(An individual I know went to the grocery store yesterday and said last night that she thought the price for eggs increased by $2 over the past few months. We’re seeing this every day.)
The impact of the increase in inflation is devastating. Americans’ salaries can’t keep up and therefore their ability to save is decreased and their spending does as well.