Economy Jul 13

Customers visit Macy's flagship store in New York City, New York
U.S. consumer prices surge in June by the most since 2008

American consumers faced a third straight monthly surge in prices in June, the latest evidence that a rapid reopening of the economy is fueling pent-up spending for goods and services that in many cases remain in short supply.

Consumer prices in the U.S. ticked upward this March, climbing more than expected as Americans paid slightly more for food and rental housing. The hike suggests improving consumer demand, and may alleviate concerns among some Federal Reserve officials…

Wages in the U.S. have been largely stagnant over the past 45 years, but during the same time span consumer prices have risen dramatically. Hari Sreenivasan discusses this trend and its effect on poverty with Bloomberg BusinessWeek reporter, Roben Farzad.

Editor’s Note: The government reported Wednesday that consumer prices fell in March, indicating a weakened demand for goods and services. But while this price drop raises the specter of deflation, many economists contend that the real risk to…