How Trump's Trade Moves Might Be Hitting Your Wallet

Prices in the US are climbing. In June, the cost of living rose by 0.3%, pushing the yearly increase to 2.7%. This is the highest it's been in four months.

Why the Increase?

• Gas Prices: Experts anticipated this rise, particularly due to the surge in gas prices.
• Tariffs: Other goods are becoming more expensive because of tariffs. These taxes on imports have made businesses uncertain about pricing.

Inflation Under Control... For Now

Despite the tariffs, inflation hasn't spiraled out of control. Here's why:

• Housing Costs: They are going down.
• Gas Prices: They have dropped.
• Business Stock: Companies bought large quantities before the tariffs took effect.

What's Next?

Experts warn that the real impact of tariffs is yet to come. Businesses are running low on their pre-tariff stock, meaning they'll soon have to buy new goods at higher prices. This will likely lead to even higher costs for consumers.

Items Already Getting Pricier

• Toys
• Appliances
• Sporting Goods
• Windows and Floor Coverings (record high in June)
• Tools and Video Equipment

Stock Market Reaction

The news had a muted impact on the stock market:

• Dow: Slight decline
• S&P 500: Flat
• Nasdaq: Increase

Experts note that while inflation is manageable for now, this is just the beginning.