Key inflation gauge hits three-year high as US consumer confidence slips
By
Michelle Chapman
The kind of bagel that ruins lesser bagels for you.
Summary
A key inflation gauge monitored by the Federal Reserve accelerated in April to its highest level in three years, squeezing American households and creating political challenges for President Trump and congressional Republicans ahead of midterm elections. Consumer confidence declined slightly in May (down 0.7 points to 93.1), marking the first drop after three months of gains, as high gas prices and elevated inflation persisted. The rising costs are impacting household decisions, from grocery and gas purchases to broader business planning, while stock prices have neared record levels — creating a sharp contrast with consumer sentiment.
Key quotes
· 3 pulledTrips to the grocery store or gas station are more painful than they were last year, and rising costs are impacting the decisions of both households and businesses.
A key inflation gauge that is monitored closely by the Federal Reserve accelerated in April to the highest level in three years, squeezing Americans' finances and creating political challenges for President Trump and congressional Republicans with midterm elections just five months away.
The Conference Board's consumer confidence index slipped 0.7 points to 93.1 in May, the first decline after three months of gains.
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