Zoom News : Jun 11, 2022, 08:10 AM
US: Inflation has reached record levels in America. Inflation in May stood at a four-decade high of 8.6 percent, according to the latest data from the US Department of Labor. After the release of the data, the major index of the US stock market - Dow Jones, fell by 880 points or 2.73% to close at 31,393 points. At the same time, the S&P-500 was also down about 3 percent.
Impact on India: The impact of the fall in the US stock markets can be seen on the Indian market on Monday. Let us tell you that on Friday, the Sensex fell 1,016 points, or 1.84 percent, to 54,303 points. Similarly, the Nifty of the National Stock Exchange also closed at 16,202 points, down 276.30 points or 1.68 percent.US inflation data: The US Labor Department released data for May 2022, saying that consumer prices last month increased by 8.6 percent compared to a year ago. A month earlier, consumer prices in April were up 8.3 percent compared to the same period a year ago. On a month-on-month basis, consumer goods prices increased by one per cent in May as compared to April. This increase is much higher than the 0.3 percent increase in April over March.What is the reason: The reason for this is the increase in the prices of gas, food and other essential commodities. Let us tell you that America has been battling with high inflation situation for the last few months. Rising prices of food and other essentials have made it very difficult for an American family to survive. The black community and the people of the low-income group are suffering the most.However, some analysts have expressed the possibility that inflation in the US will be restrained in the coming few months. But even then, inflation is unlikely to fall below 7 per cent at the end of the year.
Impact on India: The impact of the fall in the US stock markets can be seen on the Indian market on Monday. Let us tell you that on Friday, the Sensex fell 1,016 points, or 1.84 percent, to 54,303 points. Similarly, the Nifty of the National Stock Exchange also closed at 16,202 points, down 276.30 points or 1.68 percent.US inflation data: The US Labor Department released data for May 2022, saying that consumer prices last month increased by 8.6 percent compared to a year ago. A month earlier, consumer prices in April were up 8.3 percent compared to the same period a year ago. On a month-on-month basis, consumer goods prices increased by one per cent in May as compared to April. This increase is much higher than the 0.3 percent increase in April over March.What is the reason: The reason for this is the increase in the prices of gas, food and other essential commodities. Let us tell you that America has been battling with high inflation situation for the last few months. Rising prices of food and other essentials have made it very difficult for an American family to survive. The black community and the people of the low-income group are suffering the most.However, some analysts have expressed the possibility that inflation in the US will be restrained in the coming few months. But even then, inflation is unlikely to fall below 7 per cent at the end of the year.