Inflation rises 3.8% in April as Iran War impacts holiday weekend prices
8 reported
According to a CNBC report, U.S. consumers face higher prices for fuel, food, and travel heading into Memorial Day weekend as the Iran War reignites inflation. Total inflation for shoppers rose 3.8% in April from a year ago, the highest annual rate since 2023, based on federal government data. Consumer sentiment hit its lowest level on record in May, per University of Michigan survey data released Friday, partly due to spiking oil prices amid the Middle East war, which is almost three months old. The report notes that ground beef and steaks are up as much as 16% compared with 2025, while gasoline prices soared more than 28% year over year. Airline fares surged 20.7% from April 2025 to 2026, reaching their highest level since 2022. Spirit Airlines cited costlier jet fuel when shuttering operations earlier this month, and industry analysts said ticket prices could rise further without the budget airline in the market. The report is based on a single source, CNBC, and has not been cross-referenced with other outlets.
What’s reported
Total inflation for shoppers rose 3.8% in April from the same month a year ago, the highest annual rate since 2023, according to federal government data.
Consumer sentiment hit its lowest level on record in May, per University of Michigan survey data released Friday.
Ground beef and steaks are up as much as 16% compared with 2025; frankfurters cost nearly 11% more than a year ago.
Tomatoes are close to 40% more expensive; lettuce is up about 8%; coffee prices have soared more than 18%.
Gasoline prices soared more than 28% year over year; average price for a gallon of unleaded gas nationally was its highest in four years, according to AAA.
Airline fares surged 20.7% from April 2025 to 2026, reaching their highest level since 2022.
Spirit Airlines cited costlier jet fuel when shuttering operations earlier this month.
AAA anticipates 45 million Americans will travel at least 50 miles from home over the holiday period, up 0.4% from last year.
Key figures
Stephen Juneau, senior U.S. economist at Bank of America
Chris Kempczinski, CEO of McDonald's
Kimberly Palmer, personal finance expert at NerdWallet
Sources: CNBC
