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Buckle up! We just entered the next phase of Trumpflation.
Two trump decisions have pushed U.S. inflation to a three-year highTo preface this discussion, a modest level of inflation is normal and healthy for the U.S. economy. But when prices rise quickly or move beyond subjective "modest" levels, it can upend the economy and/or the stock market. As of May 2026, U.S. inflation is at a three-year high.
The bulk of this year's inflationary surge has been driven by two decisions from President Donald Trump (i.e., "Trumpflation"
Link to tweet
However, the primary catalyst behind inflation's jump from 2.4% in February to 4.2% in May is the Trump-led Iran war. Shortly after the president approved military operations against Iran, the latter closed the Strait of Hormuz to commercial vessels. This action crippled the daily flow of approximately 20 million barrels of petroleum liquids.
The reaction in energy markets was impossible to miss, with gas prices climbing at the fastest pace in over three decades and diesel prices rising by an even steeper percentage.
https://www.msn.com/en-us/money/markets/buckle-up-we-just-entered-the-next-phase-of-trumpflation/ar-AA2732pr
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Buckle up! We just entered the next phase of Trumpflation. (Original Post)
Yo_Mama_Been_Loggin
17 hrs ago
OP
Cirsium
(4,261 posts)1. A modest level of inflation
A modest level of inflation is normal and healthy for the U.S. economy? For workers, or for wealthy?
ret5hd
(22,729 posts)3. a modest level is absolutely necessary...
under our current system
its not inherently good or bad
its necessary.
the alternative is deflation, and if you think thats better, look at the great depression.
there is no stasis.
mdbl
(9,019 posts)2. The market is based on AI fraud right now
It will be interesting to see how this holds up.