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Inflation eases again in March, 5% (down from 9.1% in June)


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WWW.WASHINGTONPOST.COM

To get consumer prices back to normal, the Federal Reserve is still working to slow the economy down.
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New data from the Bureau of Labor Statistics released Wednesday showed that prices rose 5 percent in the year ending in March, the smallest 12-month increase since May 2021. That's down from the 6 percent rate notched in February and well below last summer's peak of 9.1 percent. Compared to February prices, March prices rose 0.1 percent.

 

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Housing costs were by far the largest contributor to the monthly price increase, more than offsetting a 3.5 percent drop in the energy index. Rents rose 0.5 percent in March, though that was a slower pace than the previous month.

 

Car insurance (up 1.2 percent), airfares (4 percent), household furnishings (0.4 percent) and new vehicles (0.4 percent) all saw increases in March.

 

But there were signs of encouragement in costs for medical care and used cars and trucks, which fell 0.3 and 0.9 percent over the month, respectively. Compared to last year, used car prices are down 11 percent.


Inflation is trending in the right direction, and March marked the ninth straight month of easing after last year's spike.

 

As I said in another thread, I've noticed downward trends for some items -- milk's gone down here, chicken has noticeably gone down since the highs reached last summer, and eggs, while still elevated, are down from their highs.

 

Course, corporate greed is still affecting prices in big ways:

 

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WWW.CNN.COM

Cal-Maine Foods, the largest egg producer in the United States, reported revenue doubled and profit surged 718% last quarter because of sharply higher egg prices.

 

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Bank of Canada holds interest rate for first time in a long time:

 

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WWW.BANKOFCANADA.CA

The Bank of Canada today held its target for the overnight rate at 4½%, with the Bank Rate at 4¾% and the deposit rate at 4½%. The Bank is also continuing its policy of quantitative tightening.

 

Holds at 4.5%.

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