Inflation Hits 30-Year Record as Consumer Prices Rise 6.2 Percent

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Inflation in October rose by 6.2 percent, according to the Labor Department, the highest rate in more than 30 years.

The rise in the consumer-price index included a 4.6 percent increase in the core-price index, which excludes food and energy. That was an increase over 4 percent in October, and the highest climb since 1991.

It was the fifth consecutive month the Labor Department reported inflation exceeding 5 percent. In a statement, the White House downplayed the news, and sought to turn the focus to employment numbers.

“We learned that we have had six consecutive weeks of decline in new unemployment claims,” said the statement signed by President Joe Biden. “The number of workers losing their jobs is at the lowest level since the pandemic began. Unemployment claims are down 70 percent since I took office.”

As to inflation, he added, “The largest share of the increase in prices in this report is due to rising energy costs — and in the few days since the data for this report were collected, the price of natural gas has fallen. … Other price increases reflect the ongoing struggle to restore smooth operations in the economy in the restart.”

The president closed with a call for Congress to pass $1.75 trillion in new spending in his “Build Back Better” plan. “We are making progress on our recovery,” he added. “Jobs are up, wages are up, home values are up, personal debt is down, and unemployment is down. We have more work to do, but there is no question that the economy continues to recover.”