Higher costs from tariffs were reported by businesses in all of the Federal Reserve’s 12 regional districts, and many made the choice to raise prices as a result.
“Many firms passed on at least a portion of cost increases to consumers through price hikes or surcharges,” the Fed’s July Beige Book — an anecdotal survey of domestic economic conditions — reported.
Those businesses that didn’t push the additional costs through to their customers saw restricted profit margins, the beige book said, noting consumers’ “growing price sensitivity.”
Inflation in the Labor Department’s consumer price index jumped in June, partly as a result of the tariffs.
While President Trump has instituted a 10-percent general tariff, along with China-specific tariffs and targeted tariffs on some individual goods, his country-specific “reciprocal” tariffs have been paused until Aug. 1 as trade negotiations continue.
Import prices advanced by 0.1 percent in June and deflated by 0.2 percent relative to last year, the Labor Department reported Thursday.
The number was below economists’ expectations and reflected lower energy prices.
Sen. Lisa Murkowski (R-Alaska) on Thursday said she thinks White House budget chief Russell Vought “disrespects” Congress’s annual funding process after he said it should be “less bipartisan.”
Median weekly wages for full-time and salaried workers in the U.S. rose nearly 5 percent from last year, according to the latest report from the Bureau of Labor Statistics.
The Trump administration plans to put solar and wind projects through an elevated review process, saying that moves toward approval will have to be vetted by Interior Secretary Doug Burgum’s office.
