US electricity prices are surging well ahead of inflation: Electricity prices jumped +6.1% YoY in April, the highest reading since January. This marks the 8th monthly increase above +5.0% over the last 10 months. At the same time, overall US CPI rose +3.8% YoY, the biggest increase since May 2023. This means electricity prices are rising ~61% faster than the broader inflation rate. This comes as surging power demand from data centers is straining US energy grids, pushing wholesale electricity costs sharply higher. Since January 2020, average US electricity prices have soared +44%, to an all-time high. Over the same period, the CPI has risen +28%, also to its highest level on record. US electricity price growth is accelerating.(The Kobeissi Letter)