The middle-class squeeze from tariffs is here.
Inflation hit 2.9% in August, the highest since January and up from 2.3% in April.
It’s troubling that so many basic necessities are rising in price again: Food, gas, clothing and shelter all had big cost jumps in August. And this is only the beginning.
Here are some items directly impacted by tariffs:
Coffee +21% from last August
Audio equipment +12%
Living and dining room furniture +10%
Tools +6%
Jewelry/watches +6%
Women’s dresses +6% / men’s pants +4%
Toilet paper +5%
Musical instruments +5%
Photo equipment +5%
More to come in the months ahead.More worrying news: Initial jobless claims soared to 263,000 last week. That’s the highest in almost 4 years “Cost cutting” in back among CEOs and that is corporate speak for more layoffs. It’s going to be a rough few months ahead as the tariffs impacts work their way through the economy. Americans will experience higher prices and (likely) more layoffs.
Not to worry though:
I feel so much better.