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Thu, 11 Jun 2026

Thu, 11 Jun 2026 Trump says he 'loves the inflation' as US prices rise at fastest rate in three years

Consumers are increasingly feeling the strain of the US-Israel war in Iran.

* US inflation rose to 4.2% in May, its fastest rate in three years
* President Donald Trump said he "loves the inflation" and that prices would "come down like a rock" after the war with Iran ends
* The increase was driven by rising energy costs, particularly oil prices, which have been affected by the US-Israel war in Iran
* Global benchmark Brent crude is still trading significantly higher than pre-war levels
* Trump's remark about loving inflation sparked criticism from opponents, including Senate Democratic Leader Chuck Schumer
* Higher inflation poses a challenge for the Federal Reserve ahead of its interest rate decision next week
* Economists expect rates to remain at their current level, but warned that further evidence of persisting inflation could force the Fed into a rate increase
* US consumer confidence is at an historic low, despite record highs in markets fueled by AI.