Despite Temporarily Lower Gasoline Prices, August Inflation Skyrockets with Biggest Jump in Food Prices Since 1979

Sundance reporting for Conservative Treehouse 

The Bureau of Labor and Statistics (BLS) has released the August inflation data today [DATA HERE] with a top line at 8.3 percent year over year.  Unfortunately, things are unfolding exactly as we previously shared.  [Modified Table 1 at left]

Despite the temporary drop in gasoline prices (-12%), the costs of food (+13.5%), electricity (+15.8%) and housing (+6.7%) are crushing U.S. consumers.  The stock market is responding accordingly.  We can only imagine the inflation data if the heavily weighted gasoline factor was not pushing overall toplines down.  Estimation of inflation would be well over double digits.

Keep in mind, as you read this review the price of the current harvest (prior field costs) is only right now coming into the food supply chain.

Food inflation is running at its highest rate since 1979 (+11.4%) and it will go higher as the third wave in this sector hits.

To give you an example, margarine increased in price 7% in August alone, that’s an annualized rate of 94% [Table 2 details].  Flour is also on pace for another 22.8% increase right as the holiday baking season begins.

We cannot eat gold, silver or durable goods.  Electricity, home heating (natural gas), food and housing costs are priorities right now.  Main Street USA is being crushed by Joe Biden overall economic and energy policies.  It’s bad now, and going to get worse – much worse, as the third wave of food inflation has only just begun.

¹Before sharing a MSM perspective I want to draw your attention to the BLS notation for 2023.  This innocuous footnote tells us just how manipulative the governmental bureaucracies are:

In order to give the statistical appearance of things being better than they are, the BLS is going to reset their weighting for the CPI to only compare against 2021.  This is being done with purpose to give the illusion next year that things are not as bad.  2021 was when Joe Biden’s inflation policies first surfaced. By comparing consumer prices to the timing when those prices first increased, the scale of future price increases will be statistically diminished.  We are in an abusive relationship with our government.