The U.S. Labor Department announced on Thursday that consumer prices have risen 7.5 percent last month, making it the steepest year-to-year increase in 40 years. There are few indicators showing that inflation will slow anytime soon, as many of the same reasons causing the initial price hike are still there.

The Federal Reserve and Chairman Jerome Powell are now signaling that the central bank will raise its benchmark short-term rate several times this year, with the first one possibly coming in March. Experts say over time, these higher rates will increase costs of borrowing, mortgages, credit cards and auto loans.

Economists estimate that an increase in gas, food and furniture prices have forced Americans to spend $3,500 more on goods and services in 2020 than in the previous year.