Inflation At 40-Year-High Nationally: How MI Compares

MICHIGAN — A new inflation report released by federal officials showed prices rising slightly faster in the Midwest region than across the country.

The Consumer Price Index across in the Midwest region, including Michigan showed the region increased to 1.6 percent from May to June and 9.5 percent for the 12-month period, according to the Bureau of Labor Statistics.

Nationwide, prices rose 1.3 percent from May to June and 9.1 percent, which is the largest 12-month increase since November 1981, according to the Bureau of Labor Statistics.

The largest drivers of the increase were gasoline, shelter and food. In the Midwest region, the gasoline index rose 14.7 percent from May to June, while prices across the country rose 11.2 percent during that same time period, according to the Bureau of Labor Statistics.

Falling gas prices in July may temper inflation for next month's consumer price index report, so long as the price at the pump continues to drop, according to the New York Times.

Food prices in the Midwest region increased 0.8 percent from May to June and 11.9 percent for the 12-month period. Meat increased 13.2 percent over 12 months and dairy was up 14.7 percent. Alcoholic beverages experienced the lowest 12-month price hike at just 3.8 percent, according to the Bureau of Labor Statistics.

Residential natural gas costs were up nearly 48.6 percent in the Midwest region over 12 months, and electricity increased 10.8 percent, according to the Bureau of Labor Statistics.

Economists worry that inflation has become stubborn and that the Federal Reserve will continue to increase interest rates in an effort to get it under control, according to the Washington Post.

Meanwhile, the unemployment rate remained at 3.6 percent for the fourth month in a row, according to the Department of Labor Bureau of Labor Statistics. Total non-farm employment rose by 372,000 positions in June.

President Joe Biden said inflation is still "unacceptably high," but will likely improve when next month's figures come out, since gas prices have dropped in July. He touted the strong jobs report as proof that the U.S. was in a strong position to combat inflation and economic fallout from Russia's invasion of Ukraine without giving up economic gains made over 18 months.