Americans Are Spending $709 More Monthly Compared to 2 Years Ago

Objectivity 4.8 | Credibility 4.8 | Relevance 4.9

According to Moody’s Analytics, Americans are spending $709 more per month on ordinary goods and services compared to two years ago.  However, amidst rising costs, Moody’s chief economist Mark Zandi says inflation is moderating with just a 0.2% increase from June to July.  Zandi wrote, “To be sure, the high inflation of the past 2+ years has done lots of economic damage.”  Most U.S. households are under severe financial pressures due to hot inflation, paying more for necessities like food and rent.  While the data shows inflation has fallen from a peak of 9.1%, it has remained well above the Fed’s 2% target,  despite 11 rate hikes over the past 16 months resulting in the highest federal funds rate since 2001.