Midwest inflation cools, but household costs remain far above 2020 levels

Inflation eased in the Midwest in July, with prices rising 3.5% from a year earlier, down from 3.8% in June. The national rate fell to 3.4%, but both remained above the Federal Reserve’s 2% target.

Consumer prices in the Midwest have climbed 29.8% since January 2020. A typical Iowa household now spends about $1,465 more per month to maintain the same standard of living, with housing, transportation and food accounting for much of the increase.

Energy prices posted the sharpest annual increase at 14.2%, but shelter contributed the most to overall regional inflation. The report cautioned that one month of easing does not establish a trend and that inflation’s cumulative effect on household budgets is likely to continue growing.

Read the full story at corridorbusiness.com.