Biden lands in Israel to begin Middle East trip as inflation soars at home – live | Joe Biden

Biggest 12-month US inflation increase since 1981, data shows

Americans looking for relief from the country’s inflation spike did not find it in June, the latest data from the Labor Department confirmed.

The consumer price index rose 9.1% last month compared to June 2021, its biggest 12-month increase since the same period in November 1981. It even accelerated compared to May, rising 1.3% compared to that month’s one percent increase.

Dig deeper into the numbers and you’ll see a story of frustration and financial pain for people across the country. Grocery prices were up one percent compared to May and 10.4% over the prior 12 months. Gasoline prices have increased 59.9% over the past 12 months and 11.2% in June alone.

Washington’s inflation fighter, the Federal Reserve, may respond to this report with another big interest rate increase later in July to cut into the demand drivers of inflation, as they did at their meeting last month. Biden has already seen inflation wreck his approval rating, but can hope that if Saudi Arabia agrees to bring more oil onto the market, the price of gasoline, an important contributor to inflation, will decline. Meanwhile, there’s evidence the gas price surge is already receding:

29 days straight of declining #gasprices! We’re now down 40c/gal from the peak with Americans spending $150 million LESS on gasoline today alone vs June 14. National average $4.634/gal with over 10,000 stations at $3.99 or less. We will fall under $4.60 by the weekend.

— Patrick De Haan ⛽️📊 (@GasBuddyGuy) July 13, 2022

n”,”url”:”https://twitter.com/GasBuddyGuy/status/1547203544150851584?s=20&t=Eo6lKIto_V-R_6XlD7mdCQ”,”id”:”1547203544150851584″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”4fe82db9-c96e-485f-8f79-0607ade7105e”}}”>

29 days straight of declining #gasprices! We’re now down 40c/gal from the peak with Americans spending $ 150 million LESS on gasoline today alone vs June 14. National average $ 4.634/gal with over 10,000 stations at $ 3.99 or less. We will fall under $ 4.60 by the weekend.

– Patrick De Haan ⛽️📊 (@GasBuddyGuy) July 13, 2022

The latest inflation figures are certainly bad, but President Biden has just issued a statement arguing that the situation is better than it appears because gas prices have declined since the data was collected. Here’s the meat of his argument:

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While today’s headline inflation reading is unacceptably high, it is also out-of-date. Energy alone comprised nearly half of the monthly increase in inflation. Today’s data does not reflect the full impact of nearly 30 days of decreases in gas prices, that have reduced the price at the pump by about 40 cents since mid-June. Those savings are providing important breathing room for American families. And, other commodities like wheat have fallen sharply since this report.

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Importantly, today’s report shows that what economists call annual “core inflation” came down for the third month in a row, and is the first month since last year where the annual “core” inflation rate is below six percent.

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Jason Furman, a former top economic advisor to Democratic president Barack Obama might take issue with Biden’s characterization of core inflation. He shared several thoughts about the latest report on Twitter, which he described as “brutal” overall:

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This may best sum up the damage done by the inflation wave to Americans:

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Americans looking for relief from the country’s inflation spike did not find it in June, the latest data from the Labor Department confirmed.

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The consumer price index rose 9.1% last month compared to June 2021, its biggest 12-month increase since the same period in November 1981. It even accelerated compared to May, rising 1.3% compared to that month’s one percent increase.

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Dig deeper into the numbers and you’ll see a story of frustration and financial pain for people across the country. Grocery prices were up one percent compared to May and 10.4% over the prior 12 months. Gasoline prices have increased 59.9% over the past 12 months and 11.2% in June alone.

“,”elementId”:”a456a683-7f89-462f-a539-84a4b533cf66″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Washington’s inflation fighter, the Federal Reserve, may respond to this report with another big interest rate increase later in July to cut into the demand drivers of inflation, as they did at their meeting last month. Biden has already seen inflation wreck his approval rating, but can hope that if Saudi Arabia agrees to bring more oil onto the market, the price of gasoline, an important contributor to inflation, will decline. Meanwhile, there’s evidence the gas price surge is already receding:

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Good morning, US politics reader. President Joe Biden has just landed in Israel for the first visit to the Middle East of his presidency, but even there, he won’t be able to escape the troubling state of the US economy. Inflation soared 9.1% in June compared to the same month last year, the government reported just minutes ago, and indeed, that problem will be on the agenda during his visit – convincing Saudi Arabia to raise oil production in a bid to lower gas prices in America is considered one of the president’s priorities.

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Here’s what else is happening today:

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  • The Senate health committee will at 10 am eastern time be hearing from health care providers impacted by last month’s supreme court ruling overturning the right to abortion nationwide.
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  • A new poll shows Democrats and Republicans are in a close race when it comes to which party voters would prefer controlling Congress.
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  • With Biden set to visit Saudi Arabia, Hanan Elatr Khashoggi, widow of murdered journalist Jamal Khashoggi, said she had met with White House advisors and called on the US president to press Riyadh’s leadership for the release of political prisoners.
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Key events:

Martin Pengelly

Planning a coup isn’t for amateurs, ok? That was the argument Trump’s former national security advisor John Bolton decided to make after yesterday’s January 6 committee hearing, as Martin Pengelly reports:

John Bolton, a former national security adviser to Donald Trump and before that ambassador to the United Nations under George W Bush, said on Tuesday he helped plan coup attempts in other countries.

Speaking to CNN after the day’s January 6 committee hearing, Bolton said it was wrong to describe Trump’s attempt to stay in power after the 2020 election as a coup.

He said: “While nothing Donald Trump did after the election, in connection with the lie about the election fraud, none of it is defensible, it’s also a mistake as some people have said including on the committee, the commentators that somehow this was a carefully planned coup d’etat to the constitution.

Details are trickling out about the January 6 committee’s next hearing, which The Guardian’s Hugo Lowell reports is set to take place Thursday of next week during the prime-time TV hour:

New: Sources tell me that the Jan. 6 committee is currently expected to do the final hearing of this “series” of hearings — how Trump did nothing during the 187mins of the Capitol attack — next week Thursday in prime time, confirming @alivitali

— Hugo Lowell (@hugolowell) July 12, 2022

n”,”url”:”https://twitter.com/hugolowell/status/1546986475388018690″,”id”:”1546986475388018690″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”8db0f91d-dff3-4477-bffe-912bd373bef5″}}”>

New: Sources tell me that the Jan. 6 committee is currently expected to do the final hearing of this “series” of hearings – how Trump did nothing during the 187mins of the Capitol attack – next week Thursday in prime time, confirming @alivitali

– Hugo Lowell (@hugolowell) July 12, 2022

Committee member Stephanie Murphy gave a hint of what to expect in an interview with MSNBC this morning:

1/6 committee member Stephanie Murphy (D-FL) says the next hearing will focus on Donald Trump’s inaction during the 187-minute Capitol insurrection:

“The next hearing will be about … what the president did, and, more importantly, what he didn’t do.” pic.twitter.com/KPqNbRCje8

— The Recount (@therecount) July 13, 2022

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1/6 committee member Stephanie Murphy (D-FL) says the next hearing will focus on Donald Trump’s inaction during the 187-minute Capitol insurrection:

“The next hearing will be about … what the president did, and, more importantly, what he didn’t do.” pic.twitter.com/KPqNbRCje8

– The Recount (@therecount) July 13, 2022

Inflation numbers ‘out-of-date’, don’t reflect price decreases, Biden says

The latest inflation figures are certainly bad, but President Biden has just issued a statement arguing that the situation is better than it appears because gas prices have declined since the data was collected. Here’s the meat of his argument:

While today’s headline inflation reading is unacceptably high, it is also out-of-date. Energy alone comprised nearly half of the monthly increase in inflation. Today’s data does not reflect the full impact of nearly 30 days of decreases in gas prices, that have reduced the price at the pump by about 40 cents since mid-June. Those savings are providing important breathing room for American families. And, other commodities like wheat have fallen sharply since this report.

Importantly, today’s report shows that what economists call annual “core inflation” came down for the third month in a row, and is the first month since last year where the annual “core” inflation rate is below six percent.

Jason Furman, a former top economic advisor to Democratic president Barack Obama might take issue with Biden’s characterization of core inflation. He shared several thoughts about the latest report on Twitter, which he described as “brutal” overall:

The 12-month core CPI fell from 6.0% in the year through May to 5.9% in the year through June. But don't get too excited–this is probably not telling you what you think it is.

All it says is that core inflation in the month of June-22 was slightly lower than it was in June-21.

— Jason Furman (@jasonfurman) July 13, 2022

n”,”url”:”https://twitter.com/jasonfurman/status/1547215890067755008?s=20&t=sKRDYNJnw78hHUKNAEE0rw”,”id”:”1547215890067755008″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”7f4d4495-a8be-4822-a4c7-04387a73ade1″}}”>

The 12-month core CPI fell from 6.0% in the year through May to 5.9% in the year through June. But don’t get too excited-this is probably not telling you what you think it is.

All it says is that core inflation in the month of June-22 was slightly lower than it was in June-21.

– Jason Furman (@jasonfurman) July 13, 2022

It is more relevant to look at one month changes or, if you're worried about noise, three month changes. In June core CPI increased at a nearly 9% annual rate. Over the last three months it was about an 8% annual rate. Those are both up. pic.twitter.com/Ee9dwMRgsj

— Jason Furman (@jasonfurman) July 13, 2022

n”,”url”:”https://twitter.com/jasonfurman/status/1547215895272951808?s=20&t=sKRDYNJnw78hHUKNAEE0rw”,”id”:”1547215895272951808″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”7385b355-87d6-433f-90c8-86b830077d65″}}”>

It is more relevant to look at one month changes or, if you’re worried about noise, three month changes. In June core CPI increased at a nearly 9% annual rate. Over the last three months it was about an 8% annual rate. Those are both up. pic.twitter.com/Ee9dwMRgsj

– Jason Furman (@jasonfurman) July 13, 2022

This may best sum up the damage done by the inflation wave to Americans:

The decline in real average hourly earnings at this point is terrible, the fastest pace of decline in 40 years. pic.twitter.com/92rKJFtQRD

— Jason Furman (@jasonfurman) July 13, 2022

n”,”url”:”https://twitter.com/jasonfurman/status/1547205450046767105?s=20&t=sKRDYNJnw78hHUKNAEE0rw”,”id”:”1547205450046767105″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”8c9d25f4-b6c3-4af3-8dea-a2dbb21c9c1a”}}”/>

David Smith

David Smith

If you missed it, The Guardian’s David Smith has a look at what happened during yesterday’s hearing of the House committee investigating the January 6 attack, which painted a distressing picture of former president Donald Trump’s willingness to resort to violence following his 2020 election loss:

“We settle our differences at the ballot box.”

Bennie Thompson, chairman of the congressional committee investigating the January 6 attack on the US Capitol, emphasized this article of faith in his opening remarks on Tuesday.

But what followed was a three-hour story about how American democracy, like a rickety old house, creaked and bent and struggled to hold itself together during a thunderstorm of political violence.

There was the tale of an Oval Office meeting that almost ended in fisticuffs. There was testimony from a former true believer in the “big lie” who joined the rampage at the Capitol. There were predictions that if Trump runs again, no one will be safe.

Biggest 12-month US inflation increase since 1981, data shows

Americans looking for relief from the country’s inflation spike did not find it in June, the latest data from the Labor Department confirmed.

The consumer price index rose 9.1% last month compared to June 2021, its biggest 12-month increase since the same period in November 1981. It even accelerated compared to May, rising 1.3% compared to that month’s one percent increase.

Dig deeper into the numbers and you’ll see a story of frustration and financial pain for people across the country. Grocery prices were up one percent compared to May and 10.4% over the prior 12 months. Gasoline prices have increased 59.9% over the past 12 months and 11.2% in June alone.

Washington’s inflation fighter, the Federal Reserve, may respond to this report with another big interest rate increase later in July to cut into the demand drivers of inflation, as they did at their meeting last month. Biden has already seen inflation wreck his approval rating, but can hope that if Saudi Arabia agrees to bring more oil onto the market, the price of gasoline, an important contributor to inflation, will decline. Meanwhile, there’s evidence the gas price surge is already receding:

29 days straight of declining #gasprices! We’re now down 40c/gal from the peak with Americans spending $150 million LESS on gasoline today alone vs June 14. National average $4.634/gal with over 10,000 stations at $3.99 or less. We will fall under $4.60 by the weekend.

— Patrick De Haan ⛽️📊 (@GasBuddyGuy) July 13, 2022

n”,”url”:”https://twitter.com/GasBuddyGuy/status/1547203544150851584?s=20&t=Eo6lKIto_V-R_6XlD7mdCQ”,”id”:”1547203544150851584″,”hasMedia”:false,”role”:”inline”,”isThirdPartyTracking”:false,”source”:”Twitter”,”elementId”:”47e55732-57bc-4fd4-bfc1-d5b5664f3191″}}”>

29 days straight of declining #gasprices! We’re now down 40c/gal from the peak with Americans spending $ 150 million LESS on gasoline today alone vs June 14. National average $ 4.634/gal with over 10,000 stations at $ 3.99 or less. We will fall under $ 4.60 by the weekend.

– Patrick De Haan ⛽️📊 (@GasBuddyGuy) July 13, 2022

Biden begins tough Middle East trip with US inflation as bad as ever

Good morning, US politics reader. President Joe Biden has just landed in Israel for the first visit to the Middle East of his presidency, but even there, he won’t be able to escape the troubling state of the US economy. Inflation soared 9.1% in June compared to the same month last year, the government reported just minutes ago, and indeed, that problem will be on the agenda during his visit – convincing Saudi Arabia to raise oil production in a bid to lower gas prices in America is considered one of the president’s priorities.

Here’s what else is happening today:

  • The Senate health committee will at 10 am eastern time be hearing from health care providers impacted by last month’s supreme court ruling overturning the right to abortion nationwide.
  • A new poll shows Democrats and Republicans are in a close race when it comes to which party voters would prefer controlling Congress.
  • With Biden set to visit Saudi Arabia, Hanan Elatr Khashoggiwidow of murdered journalist Jamal Khashoggi |said she had met with White House advisors and called on the US president to press Riyadh’s leadership for the release of political prisoners.

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