President Donald Trump was hit with another brutal economic measure on Wednesday, as wholesale prices posted the largest monthly increase in more than four years.
It comes as Americans have become increasingly frustrated with the president over the higher cost of living in the U.S. as the Iran war drags on, driving up prices closer to home.
Wholesale prices rose 1.4 percent in April, well above the 0.5 percent economists had expected and double the 0.7 percent increase seen in March, according to the producer price index (PPI). It was the largest monthly increase since March 2022.
The latest economic data came one day after the inflation gauge showed prices skyrocketed for consumers last month, 0.6 percent or 3.8 percent from a year ago.
The index was up six percent from a year ago, the largest annual increase since December 2022. The expectation was that it would be 4.8 percent annually.
The price of goods has been driven up largely by increased energy costs, just like it was for consumers in Tuesday’s Consumer Price Index.
A 7.8 percent jump in energy fueled the surge for producers last month. Energy costs were up more than 22 percent overall from a year ago. The price of gas was up 15.6 percent alone last month.
The producer data signals that higher costs for consumers are still being passed along as the Iran war has dragged on for more than two months. Stalled shipping through the Strait of Hormuz has led to higher prices for oil and other products.
As producers are strained by higher business costs, those higher prices could be passed on to American consumers who have already been struggling with the rising cost of living.
The cost for goods alone rose 2 percent last month, and the cost of services rose 1.2 percent after rising just 0.2 percent in March.
However, Trump indicated he was not taking Americans’ finances into account when it came to the Iran war before he jetted off to China on Tuesday.
“The only thing that matters when I’m talking about Iran, they can’t have a nuclear weapon. I don’t think about Americans’ financial situation, I don’t think about anybody,” Trump said.
But there appears to be no end in sight for the war after Trump rejected Iran’s latest offer.
The latest polling by CNN found that just 30 percent of Americans approve of Trump’s handling of the economy, while 70 percent disapprove.
65 percent said that Trump’s policies have worsened economic conditions in the U.S., ten points more than the 55 percent who said Joe Biden’s policies had worsened economic conditions right after he left office.
75 percent of those polled said the war in Iran has had a negative impact on their financial situation.
