Inflation Hits Atlanta Harder Than Almost Anywhere Else - WSB-TV Channel 2

Inflation Hits Atlanta Harder Than Almost Anywhere Else – WSB-TV Channel 2

ATLANTA – Feel like you’re paying way more for things? That’s because you are, and now we’ve learned that Atlanta tops the list of major cities with the most inflation.

According to the Bureau of Labor Statistics, Atlanta came second in inflation rate, just behind Phoenix.

The headline inflation rate in the United States is 8.3%, which is close to a 40-year high.

In April, Atlanta climbed to 10.8%, slightly behind Phoenix at 11%.

Bloomberg says there are several factors contribute to this.

“Housing accounts for almost a third of the consumer price index, and soaring rents and house prices are driving much of the inflation in the South and South- West,” he said. “The Bureau of Labor Statistics’ broad housing category jumped 14.1% in Phoenix, more than double the national average of 6.5%, while it rose 9.3% in Atlanta. These two cities are among the top 10 migration destinations in the United States, according to real estate market Redfin Corp,” Bloomberg reported this week.

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These latest statistics come as inflation slowed for the first time in months.

Food costs rose 1.5% in April alone compared to March, while shipping and storage prices jumped 3.6%. New car prices rose 0.8%. Airline ticket prices have risen the most since 1963. And food prices have continued to rise sharply.

The Federal Reserve has stepped up its fight against runaway price increases, raising its benchmark short-term interest rate by half a point last week to a range of 0.75% and 1%. This increase is double his usual quarter-point increase.

Fed Chairman Jerome Powell also signaled that the Fed would likely raise rates by half a point in June and July. Several Fed officials have said they would like to raise its benchmark rate to around 2.5% by the end of this year, which would be the fastest rate of increase in 33 years.

The prospect of higher interest rates and the potential that they could push the economy into recession has rattled financial markets this month.

Bloomberg and the Associated Press contributed to this article.

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