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The Graphic Truth: What’s behind American inflation?

May 15, 2025
Zac Weisz
Annie Gugliotta

US inflation rates have finally started to relax over the past 12 months: Prices rose at an annual rate of 2.3% in April, within touching distance of the Federal Reserve’s 2% target. This chart shows what product categories fed the inflation surge in 2022 — and its subsequent slowdown.

The recent drop in inflation rates is in large part thanks to plateauing transport costs, which spiked in 2021 and 2022 amid global supply-chain issues and Russia’s invasion of Ukraine. However, housing costs have continued to rise at a fairly steady pace, a symptom of the current US property crunch.

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