The Autonomy Institute thinktank warned that climate-induced price increases for everyday food items could push almost 1 million people into poverty without urgent government intervention.
Haefele highlighted that core goods experienced their highest increase in two years, driven by the effects of tariffs on household furnishings, appliances, electronics, apparel, and toys. This surge indicates the looming impact of tariff-related costs as they gradually filter through to consumers, with a lag between announcement, stockpiling by importers, and retail pricing.
"June's numbers mark a slight shift from May's cooler-than-expected inflation data, but it remains unclear if and when the U.S. economy will feel the true brunt of a slew of new tariffs."
Am I surprised to see inflation coming through? Of course not. You can't increase the cost of labour in food production, food distribution and food retailing in the way that we have... and not expect to see prices move.
"Everybody was front running tariffs. They were basically buying things at a discount to their future cost," said Dryden Pence, chief investment officer of Pence Capital Management.
