BREAKING: Donald Trump’s disastrous second term hits Americans right in their wallets as new data reveals that wholesale prices shot up 0.4% in January to hit a whopping 3.5% annual increase.
And it gets even worse…
Consumer inflation broke 3% for the first time last month since the second quarter of 2024, indicating that Trump has thrown the country into a downward spiral with his chaotic leadership.
The Labor Department revealed that the producer price index (PPI) — which is used to gauge the wholesale prices that businesses pay each other before selling to consumers — shot up 0.6% for final demand goods. The prices for final demand services went up 0.3%.
Economists had predicted that the PPI would hit 3.2% so the jump to 3.5% came as a surprise.
Traveler accommodation costs went up by a shocking 5.7% and diesel fuel index prices went up 10.4%
While some of these numbers may seem small in a vacuum, they quickly add up when spread out across all of the items you purchase and they rapidly accumulate over time.
Donald Trump promised to lower the price of groceries. Instead, he’s inflating the cost of everything.
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Trump’s Economic Policies Under Fire as Inflation Rears Its Head
[City, State] – New economic data has ignited concerns about the direction of the US economy under President Donald Trump’s second term. January saw a surprising surge in wholesale prices, with the Producer Price Index (PPI) climbing 0.4% to reach a troubling 3.5% annual increase. This figure exceeded economists’ predictions of 3.2%, raising alarms about potential inflationary pressures building within the economy.
The Labor Department’s report revealed a significant 0.6% jump in prices for final demand goods, while prices for final demand services rose by 0.3%. Notably, traveler accommodation costs experienced a steep 5.7% increase, and diesel fuel prices soared by 10.4%. These increases at the wholesale level often translate to higher prices for consumers down the line.
Adding to the unease, consumer inflation broke the 3% mark last month – a level not seen since the second quarter of 2024. This development fuels concerns that the country is entering an inflationary spiral under Trump’s leadership.
Critics argue that Trump’s policies are directly contributing to the rising costs. Specific concerns revolve around potential impacts of trade policies, deregulation efforts, and fiscal spending decisions.
While individual percentage increases might appear small, their cumulative effect on consumer spending power is substantial. As these wholesale price hikes ripple through the economy, Americans are likely to face higher prices on a wide range of goods and services, potentially straining household budgets.
This new data directly contradicts President Trump’s promises to lower the cost of groceries and ease the financial burden on American families. Instead, the current trend suggests that inflation is eroding purchasing power and raising the cost of everyday life.
The coming months will be crucial in determining whether these inflationary pressures are temporary or indicative of a more persistent trend. The Federal Reserve’s response and potential policy adjustments will also play a critical role in shaping the economic outlook.