Inflation, tariffs
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Higher tariffs put in place by the Trump White House this year have started to increase inflation, and these effects are likely to increase in the coming months, New York Fed President John Williams said Wednesday.
Texas A&M Professor Lori Taylor of the Bush School of Government sat down with KBTX to discuss how much the tariffs will cost us. In June, the inflation rate was 2.7% in the latest consumer price index. Taylor said it’s unclear if the recent inflation hike is due to tariffs.
US wholesale inflation was muted in June, signaling that price pressures might not be building for producers and manufacturers.
Indonesia also has agreed to purchase billions in U.S. energy, agriculture products and airplanes, Trump said July 15 in a social media post.
The Indian rupee fell on Wednesday as the latest U.S. inflation report showed that tariffs were beginning to feed into prices, weakening bets on rate cuts by the Federal Reserve, which lifted U.S. Treasury yields and the dollar.
The Bureau of Labor Statistics reports a 0.3% increase in the consumer price index last month, raising the annual inflation rate to 2.7%.
U.S. inflation reached its highest level since February in June, with consumer prices rising 2.7% from a year earlier, in part because of new tariffs imposed by the Trump administration.
Inflation rose by 0.3% month over month in June and 2.7% year over year, higher than last month's figure. Editor-in-Chief Caleb Silver breaks down the inflation data for the month of June 2025.