US annual inflation hits 30-year high amid supply chain disruption

The US annual inflation has hit a 30-year high amid the coronavirus pandemic as well as the glitch in the country’s supply chain.

According to the latest statistics, the consumer price index (CPI) rose 6.2 percent in the US federal government’s fiscal year, which runs from Oct. 1 to Sept. 30.

The CPI, which tracks inflation for a range of staple goods and services, also rose nearly one percent in the month of Oct.

Less than a year into office, President Joe Biden is under unprecedented pressure over a range of domestic and foreign issues as the economy remains under pressure amid the Covid-19 pandemic.

“The monthly all items seasonally adjusted increase was broad-based, with increases in the indexes for energy, shelter, food, used cars and trucks, and new vehicles among the larger contributors,” said the Bureau of Labor Statistics.

During a Tuesday seminar hosted by the Roosevelt Institute and Groundwork Collaborative, Jared Bernstein, a member of the White House Council of Economic Advisers mentioned Biden by name, acknowledging the stress running rampant in the administration.

“President Biden has clearly recognized the stress that even a small amount of inflation can bring to family budgets, and he has told his team to carefully track these developments and consider both near- and longer-term ways to ameliorate the recent trend,” Bernstein said.

The announcement about inflation was made as the US economy struggles to fully recover from the pandemic.

Supply chain disruptions across the country are, meanwhile, driving up prices and leading to a growing shortage of goods.