Rising Prices Cast Pall Over Biden's Spending Plan

US leader vows infrastructure Bill will bring prices down, as inflation hits 30-year high

- Nirmal Ghosh

The issue of prices has acquired new and immediate urgency in the United States, as the latest data shows that inflation has risen to a level not seen for more than 30 years.

Federal data on Wednesday cast a pall over President Joe Biden’s trip to Baltimore to showcase his signature infrastructure Bill that he promised will bring down prices and create jobs.

The consumer price index (CPI), which tracks inflation in a range of staple goods and services, last month rose 0.9 per cent, higher than expected.

That tops off the last 12 months at 6.2 per cent inflation – the highest annual rate since November 1990.

Speaking at the port of Baltimore on Wednesday, President Biden laid out some of the ways in which his US$1.2 trillion (S$1.6 trillion) infrastructure Bill, which he will sign next Monday, will create well-paid jobs, tackle climate change by transforming the economy, and bring prices down.

With an eye on China, the Bill will also fundamentally ensure America’s competitive edge.

And politically, it gives the President a chance to prove he is genuinely pro-working class.

The Bill is “the ultimate blue-collar blueprint to rebuild America”, he said.