The Big Story 

The cost of living in America is projected to rise because of President Trump’s latest round of tariffs, and that’s a political problem for the president and Republican lawmakers.

© AP

Trump campaigned in 2024 on bringing down the cost of groceries and other staples, a message that resonated strongly with voters.

More than six months into Trump’s second term, however, the costs of groceries, and other essential goods, such as cars, have continued to rise, corresponding with a drop in Trump’s job approval rating and a souring public view of Trump’s handling of the economy.

The cost of even “cheap” eats has become fodder for debate on social media, as people grumble about everything from the price of McDonald’s hash browns to Coca-Cola.

The price of eggs has come down in recent months, but a dozen are still, on average, 64 cents more expensive than a year ago, while the price of chicken, ground beef and orange juice were more expensive last month compared to a year ago.

While inflation as measured by the Consumer Price Index has stabilized at 2.7 percent, policymakers fear the prices of goods and services could spike up again, which is a big reason the Federal Reserve is hesitant to cut interest rates, a major point of tension between Fed Chair Jerome Powell and Trump.

The Hill’s Alex Bolton has more here.

Welcome to The Hill’s Business & Economy newsletter, I’m Sylvan Lane — covering the intersection of Wall Street and Pennsylvania Avenue.

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Essential Reads 

Key business and economic news with implications this week and beyond:

Trump taps conservative economist EJ Antoni to serve as next labor statistics chief

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Stocks slump as Wall Street braces for inflation spike

Bill Ackman calls for Fannie-Freddie merger as Trump teases IPO

The Ticker 

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In Other News 

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Trump nominates conservative economist to head agency that compiles jobs, inflation data

WASHINGTON (AP) — President Donald Trump said Monday that he has nominated E.J. Antoni, chief economist …

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