Inflation in the U.S. remains stuck, and Trump's economic plans are only adding to the uncertainty
Inflation in the U.S. remains stuck, and Trump's economic plans are only adding to the uncertainty
Economists generally believe that Donald Trump’s tariffs and deportations plan will prove inflationary and subsequently bad for growth.
Summary
U.S. inflation appears stuck at moderate levels, with November’s consumer price index expected to show little progress in reducing core inflation.
Persistent rent, car prices, and insurance premiums are contributing factors, complicating the Federal Reserve’s goal of lowering inflation without slowing the economy.
Trump’s proposed tariffs and deportation plans are expected to be inflationary, adding uncertainty to the economic outlook.
While wealthier Americans benefit from rising asset values, less well-off consumers face greater financial strain.