HADLEY, Mass. (WWLP) – Recent data from the U.S. Bureau of Labor statistics shows that there has been a slow-down in price growth. While this is an encouraging step, it looks like high prices will continue to be seen in stores for awhile.
Inflation levels on the decline from the month of June to July, meaning prices for things like gas and groceries didn’t pick up. This inflation slow-down is a step in the right direction, but the U.S. is still a long way off from the fed’s goal of two-percent annual inflation. In July, prices rose 8.5 percent from a year ago, which is lower than the 9.1 percent increase in June.
This decrease, however, doesn’t signify that prices of goods and services will quickly return to normal. Experts say this inflation slowdown will only prevent prices from continuing to skyrocket. 22news spoke with people shopping in Hadley who say inflation continues to hit them hard.
Alexis Michaelian of Easthampton said, “I provide for two kids, we’re a family of four so we buy a lot of food and everything is still really expensive. I know gas has gone down, maybe a few cents, and people are excited about that, but it’s still not where it should be, you know?”
“I’ll give you an example, cat food used to be 59 cents a can, it’s 99 cents in one of the stores right here. I mean that’s not exactly the inflation rate of allegedly 8 percent,” said Beverly Rhodes of Hadley.
Economists say that food and gas prices tend to be more volatile and will likely come down sooner than other prices like for services. The fed plans to get inflation under control by continuing its efforts to decrease the rates at which prices increase, which does not necessarily bring prices down themselves.