Consumer Prices Jump Again in July, Rebounding from Pandemic Lows

The cost of many goods and services such as gas, autos, clothing and airfare rose in July and rebounded from pandemic lows, but inflation is still barely visible in the wake of a coronavirus-induced recession that sapped demand throughout the economy.

The consumer price index rose 0.6% for the second month in a row, the government said Wednesday. Economists polled by MarketWatch had forecast a 0.3% advance.

The cost of living had declined from March through May during the height of the crisis.

The increase in consumer prices over the past 12 months, meanwhile, rose to 1% from 0.6% in June.

Just seven months ago, at the start of 2020, the yearly pace of inflation has climbed to as high as 2.5%.