Trump Faces 3.4% Inflation Hurdle in Midterm Push as Consumer Sentiment Drops
Updated
Updated · The New York Times · Sep 12
Trump Faces 3.4% Inflation Hurdle in Midterm Push as Consumer Sentiment Drops
2 articles · Updated · The New York Times · Sep 12
Summary
August consumer prices rose 3.4% from a year earlier, undercutting Trump's claim that Republican rule has brought prices "way, way down" less than two months before the midterms.
Fuel prices surged, mortgage costs climbed and a University of Michigan survey showed sentiment dropping sharply, reinforcing worries that the economy is weakening while inflation stays elevated.
The CPI reading also raised the odds of a Federal Reserve rate increase next week, adding pressure on households and businesses already facing higher borrowing costs.
In Dallas, Trump used two days of speeches at his party's midterm convention to argue Republicans had delivered "tremendous economic success," even as rising living costs threaten voter patience.
The clash leaves the election increasingly tied to an economy shaped by two years of trade brinkmanship and a prolonged war with Iran, both cited as drivers of higher prices.