CPI Report Surprises Amid Trump’s Policies

On Tuesday, CNN business reporter Vanessa Yurkevich seemed caught off guard by the energy and food prices for July during President Donald Trump’s tenure.

The Consumer Price Index (CPI), which measures overall changes in prices, saw a seasonally adjusted rise of 0.2% in July, as reported by the Bureau of Labor Statistics (BLS). During a segment on “CNN News Central,” Yurkevich highlighted the drop in energy prices, noting that the food index remained unchanged, and even saw a slight decline in home food prices.

Yurkevich remarked, “Despite President Trump’s tariffs, the inflation report is better than expected. We’re looking at a monthly increase of 0.2% and an annual rise of 2.7% this July.” He pointed out that similar trends were observed every June. In examining key categories like energy, food, and shelter, he noted a 1.1% drop in energy costs.

He further added, “When we look at food—that’s where families are really spending their money. And people are feeling the pinch. Usually, the rise in costs is tied to how much they pay for rent, and we know rents are on the rise. This typically takes up the largest portion of the report.”

Interestingly, despite numerous economists warning that Trump’s significant tariffs would lead to inflated prices, this has not yet materialized. The stock market has seen notable gains, reaching record highs amid manufacturing outputs adjusting by 0.3% in May and revised up by 0.1% in June, as indicated in reports.

However, it was reported that job growth has slowed, with the BLS noting that the US economy added just 73,000 non-farm payroll jobs in July.