North Jersey inflation rises for the first time in 13 months

Inflation in North Jersey has increased for the first time in over a year, breaking a 12-month streak of slowing consumer prices and underscoring a potentially difficult battle in keeping down basic expenses of living. 

North Jersey stretches through the metropolitan areas of New York City, Newark and Jersey City, according to the U.S. Bureau of Labor Statistics.

The bureau said North Jersey’s inflation rate was 3.2%, marking the first time there was an increase since July 2022. Inflation was 3% in June this year, according to federal data, for a 0.2% month-over-month increase.  

It still marks a significant pullback from New Jersey’s 14-year high of 6.7% in June 2022. CNBC reported that economists were projecting a 3.3% inflation rate for July. 

Because of a projected rise in energy prices, Barclays expects annual inflation to end the year roughly unchanged at 3.2%, USA TODAY reported. 

Nationally, the inflation was at 3.2% this July, an increase of 0.2% from last year but still far from the 40-year high of 9.1% in June 2022. 

“Although inflation is cooling, all that means is that things are getting expensive at a slower pace,” said Chris Hayes, a labor historian at Rutgers University. “No one should confuse that with prices falling or coming anywhere near back to where they were before the pandemic.” 

Home prices rose 5.8% in North Jersey since last year — as did the cost of rent in the region. Grocery costs rose 1.9% while the cost of eating out rose 6.5%. 

Electricity costs rose 8.1% since last July, while the price of natural gas dropped 11.1% in that same time. 

Gasoline prices dropped 21.7% since last July. According to the American Automobile Association, the statewide average for a gallon of gas was $3.71, compared with $4.24 a year ago. 

National credit card debt rose to a record $1 trillion, the Federal Reserve Bank of New York said in a recent report. 

To tame rising consumer prices, the Federal Reserve has raised key interest rates 11 times since 2020.