Worst Inflation in 40 Years as Consumer Prices Soar 6.8 Percent

U.S. inflation hit a 40 year high in November, worrying news for the Federal Reserve and the Biden White House.

The Labor Department said the consumer-price index—which tracks what consumers pay for goods and services—rose in November by 6.8 percent from a year ago. That was the fastest 12-month pace since 1982 and the sixth straight month of inflation above 5 percent.

The core price index, which excludes the often-volatile categories of food and energy, increased 4.9 percent in November from a year earlier, a faster pace of price hikes than October’s 4.6 percent.

On a monthly basis, the CPI increased a seasonally adjusted 0.8 percent in November from the prior month. That compares with October’s 0.9 percent monthly rise. Core prices rose 0.5 percent compared with October.