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Trump's Tariffs: Consumers Face Inflation Spike, $1.2T Cost

11/4/2025

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Summary

Story summary

U.S. President Donald Trump’s tariffs are reportedly absorbed by consumers at 50–70%, raising core PCE inflation by 30–50 basis points.
Bank of America analysts note tariffs on China and Canada remain high despite some trade deals.
Analysts expect the effective tariff rate to rise further, continuing to pressure inflation.
S&P Global estimates Trump's tariffs will cost businesses $1.2 trillion this year, ultimately impacting shoppers.

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Story summary

U.S. President Donald Trump’s tariffs are reportedly absorbed by consumers at 50–70%, raising core PCE inflation by 30–50 basis points.
Bank of America analysts note tariffs on China and Canada remain high despite some trade deals.
Analysts expect the effective tariff rate to rise further, continuing to pressure inflation.
S&P Global estimates Trump's tariffs will cost businesses $1.2 trillion this year, ultimately impacting shoppers.