[Asia Economy New York=Correspondent Baek Jong-min] The U.S. Department of Labor announced on the 12th (local time) that the Consumer Price Index (CPI) for July rose by 0.6% compared to the previous month.
This significantly exceeded experts' expectations of 0.3%. It overturned predictions that the inflation rate would decrease due to the resurgence of the novel coronavirus (COVID-19).
As a result, the U.S. inflation rate continued its upward trend for the second consecutive month. Previously, from March for three months, prices had been declining due to the impact of COVID-19, raising concerns about deflation.
The core consumer price index for July, excluding energy and food, also rose by 0.6% compared to the previous month. MarketWatch described the 0.6% increase in the core CPI excluding energy and food as the highest record since 1991.
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