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Red meat is displayed at a grocery store in Brooklyn, New York on May 12, 2026.
(Photo by Spencer Platt/Getty Images)
Inflation Jumps to 3-Year High as Critics Say Trump Economic Promises Have Turned to Dust
"If an economic policy will make life harder for American families, you can count on President Trump to try it," said one leading House Democrat.
May 28, 2026
A key federal inflation measure released Thursday shows that US prices jumped to a three-year high last month as President Donald Trump's illegal Iran war and tariffs continued to push up consumer costs at gas pumps and grocery stores across the country.
The personal consumption expenditures (PCE) index, closely watched by the Federal Reserve, rose at an annualized clip of 3.8% in April, the fastest pace since May 2023. Even when food and energy prices were stripped out of the measurement, the index rose 3.3% last month compared to a year ago—the highest level since November 2023.
"Today’s numbers tell the story: Families are paying more for gas, food, and housing and utilities," said Sen. Elizabeth Warren (D-Mass.). "Donald Trump promised to lower costs ‘on day one,' but instead inflation is running ahead of wages as his failed economic agenda hollows out Americans’ paychecks."
The US Bureau of Economic Analysis (BEA) also found that Americans' personal savings rate fell to its lowest level since June 2022, plummeting to 2.6% as higher prices force households to spend more on basic necessities.
"This is stunning," Heather Long, chief economist at Navy Federal Credit Union, wrote on social media, noting that the personal savings rate was 5.5% in April of last year. "That's a sharp plunge. It underscores how squeezed Americans are right now with higher prices and incomes not keeping up."
Consumer spending grew by $111.1 billion last month, according to BEA data, with "gasoline and other energy goods" making up the largest portion of the increase. Trump administration officials have attempted to spin rising consumer spending as evidence of broad optimism about the US economy, even with consumer sentiment at an all-time low.
"Prices remain stubbornly high because President Trump refuses to bring down the cost of living for working families," said Breyon Williams, chief economist at the Groundwork Collaborative. "Trump is making Americans pay more, first via his tariffs and now because of his war in Iran, causing prices at the pump to skyrocket. At the same time, he remains fixated on his lavish billion-dollar ballroom that the taxpayers will fund and a $1.8 billion slush fund for his supporters.”
"Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
Rep. Brendan Boyle (D-Pa.), the ranking member of the House Budget Committee, similarly ripped Trump for focusing on securing private and taxpayer funding for his White House ballroom project as families struggle with unnecessarily high costs throughout the economy.
“If an economic policy will make life harder for American families, you can count on President Trump to try it," Boyle said in a statement following the PCE data. "His tariff taxes were bad enough, but now his disastrous Iran war has sent prices at the pump skyrocketing. By driving up fertilizer and transportation costs, Trump’s Iran war is also making Americans pay even more at the grocery store."
"Americans are struggling, but Trump and Republicans in Washington can’t be bothered to help," he added. "Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
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A key federal inflation measure released Thursday shows that US prices jumped to a three-year high last month as President Donald Trump's illegal Iran war and tariffs continued to push up consumer costs at gas pumps and grocery stores across the country.
The personal consumption expenditures (PCE) index, closely watched by the Federal Reserve, rose at an annualized clip of 3.8% in April, the fastest pace since May 2023. Even when food and energy prices were stripped out of the measurement, the index rose 3.3% last month compared to a year ago—the highest level since November 2023.
"Today’s numbers tell the story: Families are paying more for gas, food, and housing and utilities," said Sen. Elizabeth Warren (D-Mass.). "Donald Trump promised to lower costs ‘on day one,' but instead inflation is running ahead of wages as his failed economic agenda hollows out Americans’ paychecks."
The US Bureau of Economic Analysis (BEA) also found that Americans' personal savings rate fell to its lowest level since June 2022, plummeting to 2.6% as higher prices force households to spend more on basic necessities.
"This is stunning," Heather Long, chief economist at Navy Federal Credit Union, wrote on social media, noting that the personal savings rate was 5.5% in April of last year. "That's a sharp plunge. It underscores how squeezed Americans are right now with higher prices and incomes not keeping up."
Consumer spending grew by $111.1 billion last month, according to BEA data, with "gasoline and other energy goods" making up the largest portion of the increase. Trump administration officials have attempted to spin rising consumer spending as evidence of broad optimism about the US economy, even with consumer sentiment at an all-time low.
"Prices remain stubbornly high because President Trump refuses to bring down the cost of living for working families," said Breyon Williams, chief economist at the Groundwork Collaborative. "Trump is making Americans pay more, first via his tariffs and now because of his war in Iran, causing prices at the pump to skyrocket. At the same time, he remains fixated on his lavish billion-dollar ballroom that the taxpayers will fund and a $1.8 billion slush fund for his supporters.”
"Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
Rep. Brendan Boyle (D-Pa.), the ranking member of the House Budget Committee, similarly ripped Trump for focusing on securing private and taxpayer funding for his White House ballroom project as families struggle with unnecessarily high costs throughout the economy.
“If an economic policy will make life harder for American families, you can count on President Trump to try it," Boyle said in a statement following the PCE data. "His tariff taxes were bad enough, but now his disastrous Iran war has sent prices at the pump skyrocketing. By driving up fertilizer and transportation costs, Trump’s Iran war is also making Americans pay even more at the grocery store."
"Americans are struggling, but Trump and Republicans in Washington can’t be bothered to help," he added. "Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
A key federal inflation measure released Thursday shows that US prices jumped to a three-year high last month as President Donald Trump's illegal Iran war and tariffs continued to push up consumer costs at gas pumps and grocery stores across the country.
The personal consumption expenditures (PCE) index, closely watched by the Federal Reserve, rose at an annualized clip of 3.8% in April, the fastest pace since May 2023. Even when food and energy prices were stripped out of the measurement, the index rose 3.3% last month compared to a year ago—the highest level since November 2023.
"Today’s numbers tell the story: Families are paying more for gas, food, and housing and utilities," said Sen. Elizabeth Warren (D-Mass.). "Donald Trump promised to lower costs ‘on day one,' but instead inflation is running ahead of wages as his failed economic agenda hollows out Americans’ paychecks."
The US Bureau of Economic Analysis (BEA) also found that Americans' personal savings rate fell to its lowest level since June 2022, plummeting to 2.6% as higher prices force households to spend more on basic necessities.
"This is stunning," Heather Long, chief economist at Navy Federal Credit Union, wrote on social media, noting that the personal savings rate was 5.5% in April of last year. "That's a sharp plunge. It underscores how squeezed Americans are right now with higher prices and incomes not keeping up."
Consumer spending grew by $111.1 billion last month, according to BEA data, with "gasoline and other energy goods" making up the largest portion of the increase. Trump administration officials have attempted to spin rising consumer spending as evidence of broad optimism about the US economy, even with consumer sentiment at an all-time low.
"Prices remain stubbornly high because President Trump refuses to bring down the cost of living for working families," said Breyon Williams, chief economist at the Groundwork Collaborative. "Trump is making Americans pay more, first via his tariffs and now because of his war in Iran, causing prices at the pump to skyrocket. At the same time, he remains fixated on his lavish billion-dollar ballroom that the taxpayers will fund and a $1.8 billion slush fund for his supporters.”
"Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
Rep. Brendan Boyle (D-Pa.), the ranking member of the House Budget Committee, similarly ripped Trump for focusing on securing private and taxpayer funding for his White House ballroom project as families struggle with unnecessarily high costs throughout the economy.
“If an economic policy will make life harder for American families, you can count on President Trump to try it," Boyle said in a statement following the PCE data. "His tariff taxes were bad enough, but now his disastrous Iran war has sent prices at the pump skyrocketing. By driving up fertilizer and transportation costs, Trump’s Iran war is also making Americans pay even more at the grocery store."
"Americans are struggling, but Trump and Republicans in Washington can’t be bothered to help," he added. "Unless you can cut a check for his ballroom, Donald Trump clearly couldn’t care less about you."
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