Source: Fortune
Summary
The US consumer price index rose 3.8% from April 2025, with a 0.6% increase from March to April, driven by a 5.4% rise in gasoline prices. Excluding food and energy costs, core prices rose 0.4% last month. Inflation remains above the Federal Reserve’s 2% target, with energy prices surging due to the war with Iran. The Fed has turned cautious, and President Trump has criticized the Fed for not cutting interest rates.
Our Reading
The numbers tell one story.
Inflation is up, and energy prices are the culprit. Gasoline prices have risen 28% compared to last year, with the average gallon costing over $4.50. The Fed is cautious, and President Trump is unhappy. Companies like Whirlpool are feeling the pain, with revenue dropping nearly 10% in the latest quarter. The war with Iran has caused a “recession-level industry decline” that’s undermining consumer confidence. The Fed’s next move is uncertain, with new chair Kevin Warsh expected to be confirmed soon.
The price of war is being paid at the pump.
Author: Evan Null
