US inflation surge signals tough times ahead

June’s awful US inflation numbers are a reminder of tough days ahead for many in America and around the world, and especially the most vulnerable segments of the population and the most fragile developing countries.

This is not because inflation will record yet another four-decade high over the next three months. It won’t. Rather, it is because of the damage already unleashed and that which is to come.

At 9.1 per cent for June, the headline number for US CPI inflation came in well above the median forecast of 8.8...