At 2.7% the inflation In August in the US on an annual basis, recording a slight increase compared to July, when the PCE index reached 2.6%, the Ministry of Commerce said today.

This increase in inflation, which has reached its highest level since February, combined with the weak dollar, is affecting the purchasing power of Americans, especially the middle and working class. At the same time, the labor market appears to lose its dynamics and consequently the opportunities to find better employment are limited.

It is recalled that the Federal Bank (FED) has set the aim of reducing inflation to 2%.

Authentic inflation (without energy and food prices) remained stable compared to the previous month, at 2.9% on an annual basis.

This development was expected by investors, according to Marketwatch.

‘To have confidence in the Trump“It was the first reaction of White House spokesman Caroline Levitt in a post on the X platform.

“The economy is doing well. Prices are falling, practically we have no inflation, “President Donald Trump himself told reporters.

After returning to the White House in January, Trump imposed customs duties on products imported to the US. On Thursday night, new duties, this time on medicines, trucks and furniture manufactured in other countries. So far, its protectionism, on behalf of US industrialization, has not kneelled the country, thus denying some forecasts. It is a fact that companies brake their investments (other than artificial intelligence), growth slows down, inflation is increasing, as is unemployment. But the consumption, the driving force of the American economy, remains high, at least for part of the population, the most robust economic households, commented Michael Pierce of Oxford Economics. The economist noted, however, that “the negative effects of duties growth and the slowdown in the labor market on real incomes were less than expected.”

According to Heather Long, an economist at Navy Federal Credit Union, “we need to watch how the middle class is over, which was already facing increased prices and seeing the cost of certain essentials.” As spending increases faster than revenue, he estimated that Americans could not continue “infinite” to live above their potential.