Overview
- U.S. inflation is reported around 2.6%–2.7%, down sharply from about 8% at the post‑pandemic peak yet still above the Federal Reserve’s 2% target.
- Recent data show lower gasoline prices but a 0.7% jump in December food costs, and many household expenses remain higher than pre‑2020 levels, analysts note.
- Trump tied his economic narrative to expanded tariffs, which economists say act like a stealth tax that can keep prices elevated for consumers.
- The Yale Budget Lab estimates an effective average U.S. tariff rate near 17.5%, with potential added household costs of roughly $1,300 to $1,700 in 2026 compared with a no‑expansion baseline.
- In the U.K., headline inflation ticked up to about 3.4% late last year and a public row over supermarket meal‑deal prices flared as a Labour MP urged a £3.50 cap and critics noted Tesco’s £3.85 offer compares favorably with a 2015 £3 price adjusted to roughly £4.20 today.