Reported by CHRIS ENLOE | July 07, 2022
Not even CNN is hiding the depressing reality that sky-high inflation is imposing on most Americans. CNN Business correspondent Rahel Solomon explained Wednesday that American life is “being shaped by the really high inflation,” which topped 8.6% in May.
“Well, I think for a lot of Americans, their reality is being shaped by the really high inflation,” Solomon explained. “We know, under the hood of that number, it’s really high energy prices, really high food prices. The costs of new and used cars have gone up, pretty much everything broad-based has gone up. The cost of shelter has gone up, which has some economists really concerned.
“I think if you are an American at home, it’s really hard, perhaps understandably, to feel great about the economy right now, even though there are some silver linings, when you’re getting hit so hard with inflation,” she added, referring to decreasing unemployment numbers.
Solomon then used a personal anecdote to highlight the everyday reality of inflation.
“Even personally, you know, I talked to economists and traders and analysts every day about this, and sometimes I find myself shocked when I go to the grocery store and look at prices and think, ‘Wow, this costs this now?’ And so, it’s understandable,” Solomon admitted.
Solomon and CNN anchor Ana Cabrera were discussing a new Monmouth University Poll, which found that nearly 9 in 10 American adults believe the U.S. is heading in the “wrong direction.” The poll similarly found that inflation and record-high gas prices are the issues that Americans believe impact them most right now. Those discoveries are particularly alarming for Democrats, who control the White House and Congress. Such polling, along with President Joe Biden’s approval numbers, suggests Democrats will lose big in the 2022 midterm elections.
The Bureau of Labor Statistics has not yet released inflation figures for June. Unfortunately, the consumer price index will probably show yet another inflation increase, as inflation continued to skyrocket in Europe last month. If inflation does increase, the Federal Reserve will continue to raise interest rates, an action some economists believe could lead to a recession.