NAM: Consumer Price Growth Fastest In Three Decades
the record rate in August. The Index of Consumer Sentiment declined from 71.7 in October to 66.8 in November, the lowest level since No- vember 2011, according to preliminary data from the Uni- versity of Michigan and Thomson Reuters. The reduction was largely based on inflationary worries. The concern here is that the sharp reduction in con- sumer confidence since the spring will translate to some hesitance in terms of spending. Yet, the data on U.S. con- sumer credit outstanding would seem to suggest that Americans have stepped up their willingness to take on revolving credit, which should bode well for continued spending growth moving forward. Manufacturing job openings rose from 869,000 in Au- gust to 897,000 in September. These figures are not far from July’s record high (906,000), and job postings remain well above pre-pandemic levels. Job openings rose to an all-time high for durable goods firms and were not far from a record pace for nondurable goods businesses. There were 7,674,000 unemployed Americans in Sep- tember, which translates to 0.74 unemployed workers for every one job opening in the U.S. economy. That number speaks to the tightness of the labor market, with more job openings than people looking for work. Quits in the manufacturing sector increased from 312,000 in August to 337,000 in September, a new all- time high. Likewise, nonfarm payroll quits soared from 4,270,000 to a record 4,434,000.
Consumer prices soared 0.9 percent in October, the fast- est pace since June, which was the fastest pace since June 2008, according the Chad Moutray, Ph.D. and Chief Economist at the National Association of Manufacturers (NAM). Food and energy costs rose 0.9 percent and 4.8 percent, respectively, in October. Excluding food and en- ergy, core consumer prices increased 0.6 percent in Octo- ber, also the biggest increase since June. The cost of used cars and trucks jumped 2.5 percent for the mont The consumer price index has risen 6.2 percent over the past 12 months, up from 5.4 percent in September and the fastest year-over-year pace since December 1990. At the same time, core inflation (which excludes food and en- ergy) increased 4.6 percent year-over-year in October, up from 4.0 percent in the prior release and the biggest in- crease since September 1991. Similarly, producer prices for final demand goods and services rose 0.6 percent in October, continuing to increase steadily year to date. Over the past 12 months, producer prices for final demand goods and services jumped 8.6 percent, the same pace as in September and remaining the largest increase on record. Meanwhile, core producer prices increased 6.3 percent year-over-year in October, up from 6.0 percent in September and matching
14
www.boardconvertingnews.com
November 22, 2021
Made with FlippingBook - professional solution for displaying marketing and sales documents online