 Strain onconsumers |
Source |
American Shipper |
Post Date |
09/19/2025 |
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Prices are edging higher as worker wages aregrowing more slowly, straining lower-income households.
"Its troubling that so many basicnecessities now cost more. Food, gas, clothing and shelter all had big costjumps in August," Heather Long, chief economist at Navy Federal CreditUnion, said in an email. "And this is only the ning of theprice hikes. The situation will worsen in the coming months as more costs arepassed along to American consumers."
Clara Moore, 44, a public-sector researcher wholives in Newark, New Jersey, told CBS MoneyWatch she is seeing prices"rising all over the place." Her grocery bill has risen to about $250per haul, from roughly $175 one year ago, she said.
Some economists think tariffs are likely tocontinue pushing inflation higher throughout the rest of the year, putting morefinancial pressure on families. As a result, many consumers will sp withmore restraint, according to Daco.
"They are more cautious when it comes totheir outlays. They havent stopped sping, but theyll be more judiciousfrom one month to the next. Theyll adjust their sping according to whatthey need and whats affordable," he said.
Moore said shes had to cut back her spingon discretionary goods in order to afford the basics.
"Im in the process of cutting out all ofmy streaming. I stopped ordering anything from Amazon ?any impulse buying Ihave cut out," she said.
Ryan Sweet, Oxford Economics chief U.S.economist, said consumers should expect to pick up about two-thirds of the costof new U.S. tariffs on foreign goods.
"Youll have a few of these increasesspread out with each passing month, and youll see more of the tariffs passedon to consumers," he said.
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