Inflation moved higher last month as the price of gas, groceries, hotel rooms and airfare rose, along with the cost of clothes and used cars.
[image or embed]— The Associated Press (@apnews.com) September 11, 2025 at 8:52 AM
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Inflation jumps as Trump and Powell confront a weakening labor market.
[image or embed]— Politico (@politico.com) September 11, 2025 at 11:55 AM
… Until recently, Powell and most other central bankers have been reluctant to lower short-term borrowing costs out of fear that it might further stoke inflation. Powell’s unwillingness to bend has enraged Trump and top White House officials, who’ve since launched investigations into the Fed chair’s oversight of a costly renovation of the central bank’s headquarters and attempted to fire Fed Gov. Lisa Cook over allegations of mortgage fraud.
But Trump’s tariffs have added hundreds of billions of dollars in costs for domestic companies that rely on imported goods. Most companies have either absorbed the tariffs or relied on pre-tariff inventories. Yet there’s a broad expectation among economists — which was bolstered by Thursday’s inflation report — that those costs will be reflected in higher consumer prices, which may mean even more inflation in the year to come.
“We witnessed a widening breadth of inflation pressures in August and saw upticks in some trade-exposed sectors for the first time (new motor vehicles) — setting a concerning precedent for the inflation trajectory in the months ahead,” said Carrie Freestone, a U.S. economist at RBC Capital Markets.
That could create challenges for Trump and Republicans as they prepare for the 2026 midterms. Voters are highly sensitive to rising prices — particularly since pandemic-era inflation — and the August CPI report found that the cost of household staples is growing rapidly…
“President Trump promised to lower costs on ‘day one,’ but instead his chaotic tariffs and disastrous economic agenda are driving prices higher,” said Elizabeth Warren (D-Mass.), the ranking Democrat on the Senate Banking Committee.
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JPMORGAN: “.. inflation is set to have far exceeded the 2% target for five straight years. .. In each year of the expansion, J.P. Morgan and central banks have projected inflation to fall in the coming year, and each year inflation has overshot.”
— Carl Quintanilla (@carlquintanilla.bsky.social) September 9, 2025 at 2:31 PM
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Talked to 23 people who suddenly have to pay huge tariffs or otherwise cannot get chainmail from Pakistan, yarn from France, retro computers from Japan, metal music from the Netherlands, DVDs from Germany, cosplay supplies, sunscreen, etc.
www.404media.co/its-just-a-m…— Jason Koebler (@jasonkoebler.bsky.social) September 9, 2025 at 10:12 AM
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Friday Morning Open Thread: Trump Take… EverythingPost + Comments (258)
