Economic growth in the United States slowed sharply in the first weeks of the year due to supply chain disruptions, high prices, and labor shortages linked to the surge in Covid-19 infections, according to data from a purchasing managers survey released Monday.
Runaway house price inflation continues to characterize the U.S. market. House prices across the country rose 15.8% on average in October 2021 from the year before. U.S. house prices are far over their 2006 Bubble peak, and remain over the Bubble peak even after adjustment for consumer price inflation.
Wage gains weakened in December even as inflation likely accelerated, pushing workers even further behind and making meeting it tougher for millions of American families to meet their household needs.
The number of Americans who filed new unemployment claims increased to 207,000 in the week ending Jan. 1 as workers seek more attractive positions with better pay and Omicron coronavirus variant cases surge.
Another 205,000 American workers filed for unemployment benefits last week, matching the prior week’s jobless claims number and roughly in line with pre-pandemic levels, suggesting that the recent rise in COVID-19 infections was not driving a fresh wave of layoffs.
US retail sales grew by 0.3% in November, down October’s growth of 1.7%, amid an inflation spike that has raised prices of all products, Commerce Department data showed on Wednesday.
