Inflation rises 3.8% in April as holiday weekend costs climb
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. Federal data shows total inflation for shoppers rose 3.8% in April from a year ago, the highest annual rate since 2023. Consumer sentiment hit its lowest level on record in May, according to University of Michigan survey data released Friday, battered in part by spiking oil prices amid the nearly three-month-old Middle East war. Ground beef and steaks are up as much as 16% compared with 2025, while gasoline prices soared more than 28% year over year. A record 45 million Americans are expected to travel at least 50 miles from home over the holiday period, according to AAA. The report notes that E.l.f. Beauty announced it was rolling back some price increases, and McDonald’s CEO warned of a “challenging environment” as inflationary pressures mount.
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.
Consumer sentiment hit its lowest level on record in May, according to University of Michigan survey data.
Ground beef and steaks are up as much as 16% compared with 2025; frankfurters cost nearly 11% more than a year ago.
Tomatoes are up close to 40%; 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.
Airline fares surged 20.7% from April 2025 to 2026, reaching their highest level since 2022.
AAA anticipates 45 million Americans will travel at least 50 miles from home over the holiday period, up 0.4% from last year.
Spirit Airlines cited costlier jet fuel when shuttering operations earlier this month.
Key figures
Stephen Juneau, senior U.S. economist at Bank of America
Kimberly Palmer, personal finance expert at NerdWallet
Chris Kempczinski, CEO of McDonald’s
E.l.f. Beauty (company mentioned)
Spirit Airlines (company mentioned)
Sources: CNBC
