According to the Commerce Department, inflation reached a new 30-year high in august as ongoing price pressures were fueled by supply chain disruptions.

While the core personal consumption expenses price index did not include food or energy, it increased 0.3% and was up 3.6% compared to a year ago. It was slightly lower than the Dow Jones 0.2% estimate and the 3.5% annual forecast.

This is the most since May 1991, reflecting inflationary pressures which Fed Chairman Jerome Powell stated earlier this week that he found “frustrating”

The headline PCE price index rose by 0.4% month-over-year and 4.3% annually, which is the highest level since January 1991. This was due to a 24.99% rise in energy prices, and 2.8% increase in food.

The good prices increased by 5.5%, while the services grew by 3.6%.

Inflation rose 0.2% in the month as individuals’ incomes increased by 0.2%. This is in line with forecasts but indicates that real income is decreasing as inflation increases. The 0.8% increase in spending was slightly higher than the forecast 0.7%.

Individual savings totaled $1.71 Trillion, a 9.4% rate and an increase from 10.1% in July. As the government was rushing to make payments to people and business to stop the spread of Covid, the savings rate reached its peak at 33.8% on April 2020.