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President Joe Biden applauded on Thursday the news that a key indicator of inflation fell for the first time in more than two years and said that “it is clearer than ever” that his economic policies are working.
“This morning we have good news,” Biden said in a speech. While consumer prices are still higher than a year ago, the pace at which they are rising has slowed every month for the past six months, the president noted.
“It’s down from 9.1% this summer. Inflation is now at its lowest level since October 2021,” Biden said.
The general consumer price index (CPI) fell 0.1% from the previous month, marking the largest monthly decline since April 2020when much of the country was in lockdown due to the Covid pandemic.
The report released by the Labor Department on Thursday found the headline CPI rose 6.5% from a year earlier, the lowest level since October 2021.
Good news
The data is good news for Biden, who for months has asked the nation to have faith in his economic plans amid persistent inflation. The president reminded Americans of the state of the economy when he took office.
Today we have some good news about the economy: For the sixth month in a row, yearly inflation is down.
Inflation might be rising in economies around the world, but it’s coming down in America month after month, giving families some real breathing room.
— Joe Biden (@JoeBiden) January 12, 2023
“The pandemic was raging and the economy was reeling. We acted decisively to implement a new strategy that would rescue the economy from the recession of the pandemic,” Biden said. “At the same time, we are laying the foundation for a stronger and more resilient economy for decades to come. Now, after two years, it is clearer than ever that my financial plan is working.”
Biden praised other positive economic indicators, like last week’s Department of Labor jobs report, which found unemployment at its lowest level in 50 years.
“My first two years in office were the strongest two years for job growth on record,” Biden said. “We still have more work to do, but we are clearly moving in the right direction and there is more breathing room in store for America’s workers and families.