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Fed Links Inflation to Tariffs and Iran Oil Shock

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Story summary
  • U.S. President Donald Trump told a rally on October 7 that U.S. troops will leave Iran and oil prices will fall.
  • Official data show gasoline prices rose 27.4% year-over-year and August inflation hit 3.4%.
  • Pew Research reports 84% of registered voters consider the economy very important for the November 3 midterms.
  • Federal Reserve (Fed) officials attribute higher inflation to Trump’s expanded tariffs and the Iran war’s energy shock.