Costs, on common, didn’t go up in July. That’s terrific information—and significantly better than I had anticipated. The Federal Reserve ought to nonetheless proceed its aggressive assault on inflation with one other 75-basis-point hike on the September assembly. Taken along with latest information suggesting continued inflationary momentum, some easing of recession issues, and the de facto easing of financial coverage in latest weeks, the case is even stronger.
July was a reprieve for American households. Gasoline costs fell by 80 cents a gallon. Customers bought extra reduction on every thing from airfares to resort lodgings. Costs are nonetheless very excessive, however that isn’t an issue that may be solved in a single month.
