U.S. June Consumer Prices Rose Sharply as Reopenings Prompted More Buying
July 14 2020 - 9:20AM
Dow Jones News
By Amara Omeokwe
U.S. consumer prices rose sharply in June, with higher prices
for staples such as food, gasoline and apparel, as states broadened
efforts to reopen economies last month while coping with the
coronavirus pandemic.
The consumer-price index -- which measures what Americans pay
for everyday items including groceries, clothing and shelter --
rose 0.6% in June from the month before, the Labor Department said
Tuesday. The index had fallen in each of the previous three months,
with particularly sharp declines during the earlier part of the
pandemic in March and April.
Excluding the often-volatile categories of food and energy,
so-called core prices rose 0.2%, compared with a 0.1% decline in
May.
Economists surveyed by The Wall Street Journal expected a 0.5%
increase for the overall consumer-price index, and a 0.1% gain for
the core index.
Tuesday's report showed grocery prices last month rose 0.7%,
building on a 1% monthly rise in May. Prices for dining out ticked
up by 0.5%, while gasoline prices rose 12.3%. Apparel prices
increased 1.7% over the month.
The increase in overall consumer prices last month came as
states continued plans to ease lockdowns and social distancing
requirements initially put in place to reduce the spread of the
coronavirus pandemic. However, a recent resurgence of cases in
certain parts of the country has caused some states to reimplement
restrictions, a factor that could weigh on prices broadly and the
strength of the recovery.
Write to Amara Omeokwe at amara.omeokwe@wsj.com
(END) Dow Jones Newswires
July 14, 2020 09:05 ET (13:05 GMT)
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