CPI. Far from the target.

Inflation ramped up in 2021 and crested above 9% in June 2022. The year-on-year inflation reading of 4% in May is better, but still not good. 

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Far from target
Welcome to the Know the Difference Minute for Tuesday, June 13th.
According to the Bureau of Labor Statistics, inflation moderated in May. The consumer price index, built from a basket of goods and services purchased by your average household, increased only 0.1% from April. Prices were up 4.0% from a year ago.
Energy prices fell more than 5% in May, driving the slowdown.
We’ve come a long way, but there’s still a long way to go.
Inflation ramped up in 2021 and crested above 9% in June 2022. The year-on-year inflation reading of 4% in May is better, but still not good.
The Federal Reserve has done a lot to bend the inflation curve, so they may stay on pause to see how things shake out. It took a year to get from 9% inflation down to 4%. It could take at least another year to get down to 2% inflation.
I’m Brian Jacobsen, Chief Economist at Annex Wealth Management. That is your Know the Difference Minute.