Experts Predict Rise in Consumer Prices Amid Trade War Tensions

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Politics

#consumer prices #trade war #tensions

Tariffs seen lifting underlying US consumer prices in May
to boost underlying inflation in a potential sign that price pressures are picking up. The Labor Department's Consumer Price Index, which measures the costs of goods and services, is expected to show a 0.2% rise in May, according to a Reuters survey of economists. This increase would be lower than the 0.3% rise seen in April, mainly due to a drop in gasoline prices. However, experts believe that the impact of the recent tariffs imposed by the Trump administration on imports from China and other countries may start to show in the underlying inflation numbers. This could be a sign that the ongoing trade tensions are starting to affect consumer prices. The tariffs have caused prices of goods such as washing machines and steel to rise, and this could lead to an overall increase in consumer prices. The Federal Reserve has been closely monitoring inflation numbers and has stated that it will continue to raise interest rates in response to any significant increase. This news comes amidst the ongoing trade war between the U.S. and China, which has caused uncertainty and volatility in the global markets. The potential increase in consumer prices could have a significant impact on the economy and consumer spending. As the Fed considers its next move, this data will be closely watched for any indication of future inflation and interest rate changes. Stay tuned for the release of the Consumer Price Index on June 12th to see how these factors are affecting the U.S. economy."

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Reuters

**Reuters** is a leading global news agency founded in 1851 by Paul Julius Reuter, a German immigrant who innovatively combined telegraphy and carrier pigeons to transmit financial and news information rapidly between cities like London and Paris[1][2][4]. Starting from a modest office in London’s financial district, Reuters quickly gained a reputation for speed, accuracy, and impartiality, exemplified by its early scoop on the death of U.S. President Abraham Lincoln in 1865, beating competitors by hours[1][2]. Historically, Reuters evolved from a commercial news service focused on stock prices for banks and brokerage houses to a comprehensive international newswire serving newspapers worldwide. Its expansion reflected the growing importance of timely, reliable news in business and global affairs[2][3]. The company’s independence and editorial integrity have been safeguarded since 1947 by the Reuters Trust Principles, which commit Reuters to unbiased and accurate reporting[4]. Today, Reuters operates as part of Thomson Reuters, a Canadian multinational headquartered in Toronto. It is recognized as the largest global news agency, with over 2,600 journalists in 165 countries producing around 2 million unique news stories annually in 12 languages[5]. Reuters embraces cutting-edge technology to deliver breaking news, multimedia, and authenticated content to media, technology firms, governments, and corporations, ensuring fast and seamless distribution[5]. Notable achievements include winning over 300 journalism awards in the last decade, such as the 2024 Pulitzer Prizes for National Reporting and Breaking News Photography, and the George Polk Award for Business Reporting, underscoring its leadership in business and technology journalism[5]. Reuters continues to innovate, recently unveiling AI tools to enhance video production and engagement, reflecting its commitment to shaping the future of news in a digital age[5].

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