Tariffs and Inflation: What the Numbers Say
Where's the Inflation from Tariffs?
The stock market is keeping a close eye on Tuesday's consumer-price index report for June, as it could shed light on the impact of tariffs on rising prices. The recent trade tensions between the US and China have led to fears of inflation, but so far the data has been inconclusive. Companies like Apple and Caterpillar have reported higher costs due to tariffs, but others like Walmart have managed to offset the impact. As we wait for the latest CPI numbers, investors are looking to earnings reports for clues on the potential impact of tariffs on the stock market.
What Stocks and Earnings Tell Us
Stocks have been relatively resilient in the face of tariffs, with the S&P 500 hitting record highs last week. This could be due to strong second-quarter earnings reports, which have shown that many companies have been able to navigate the trade tensions and maintain profitability.
