At a Costco gas station in Hawthorne, California, March 18, 2026. PATRICK T. FALLON/AFP
Donald Trump's war in Iran has proven costly, and Americans are paying a steep price. Inflation data for April, released Tuesday, May 12, by the Bureau of Labor Statistics, showed a spike in the US cost of living, up 0.6% from March and 3.8% year-on-year, driven primarily by rising energy prices. These figures are a source of concern for the White House, which is searching for ways to reduce the financial burden of a conflict it is struggling to resolve.
The increases are not limited to gasoline and electricity prices, which rose 3.8% in April, following a March peak of 10.9% (up 17.9% year-on-year). Food prices in particular started climbing again (3.2% year-on-year) after stabilizing in March. Excluding more volatile categories such as energy and food, the core consumer price index rose 2.8% annually. Rental housing costs have never truly fallen (3.3%), nor have healthcare (3.2%) or transportation (4.3%). The only notable decrease concerns used vehicles: high pump prices are dampening sales of gasoline-powered cars.
Inflation was "only" at 2.4% before the outbreak of hostilities, already above the Federal Reserve's target of 2%. The sharp increase has fueled widespread public discontent just months before the November midterm elections.
