March was also the largest one month increase in gas prices in over six decades
Washington, DC – Today, the Bureau of Labor Statistics’ (BLS) monthly inflation report confirmed what we already knew – Republicans’ unnecessary war in Iran is dramatically hiking Americans’ costs, and putting even greater strain on working families nationwide.
According to the report, consumer prices rose 3.3% in March compared to the previous year. They also came in significantly higher than February’s report, making it the largest single month increase in prices in nearly four years. These shocking price hikes are a direct result of President Trump and congressional Republicans’ expensive war in Iran, which is skyrocketing oil and gas prices globally.
March was the largest one month increase in gas prices in over six decades. Now, because congressional Republicans backed this deeply unpopular war, Americans are facing over $4.00 per gallon at the pump and increasing food prices. What is congressional Republicans’ proposed solution to this self-imposed catastrophe? You guessed it – even deeper cuts to health care.
“Today’s inflation report clearly shows that Republicans in Congress are responsible for Americans’ higher costs,” said Unrig Our Economy Campaign Director Leor Tal. “Their unnecessary war in Iran has led to one of the largest spikes in inflation in years and highlights their willingness to raise costs on the American people at every turn. Even as working families are getting crushed by Republican tariffs, cuts to Medicaid and SNAP, and higher gas prices, Republicans still want to put Americans’ health care on the chopping block yet again.”
Associated Press: War in Iran sends inflation soaring and the mood of American consumers plunging
Key Points:
- The largest monthly jump in gas prices in six decades caused a sharp spike in inflation in March, creating major challenges for the inflation-fighters at the Federal Reserve and heightening the political challenges of rising costs for the White House.
- Consumer prices rose 3.3% in March from a year earlier, the Labor Department said Friday, up sharply from just 2.4% in February and the biggest yearly increase since May 2024.
- The gas price shock stemming from the Iran war has shifted inflation’s trajectory, from a slow, gradual decline to a sharp increase further away from the Fed’s 2% target.
- As a result, the central bank will almost certainly postpone any cut in interest rates for months and many Fed officials have said a rate hike may be needed if inflation doesn’t cool.
- Higher gas prices sap consumers’ ability to spend on other goods and services and as a result could also slow economic growth.
- Gas prices averaged $4.15 a gallon nationwide Friday, up from $2.98 on the day before the war began, according to motor club AAA.
- The big question for consumers and the economy is whether the surge in oil and gas prices will create a sustained, broader inflation shock, similar to what occurred in the aftermath of the pandemic in 2021-2022.
- This time, economists say the job market and consumer spending are weaker, and there are no large government stimulus checks being issued to spur demand.
- More expensive oil and gas will also likely lift grocery prices, creating more pain for consumers who have already absorbed a roughly 25% jump in food costs since the pandemic.
To learn more about the campaign, visit UnrigOurEconomy.com or contact press@unrigoureconomy.com
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About Unrig Our Economy
Unrig Our Economy is a national campaign to fix the rules of our economy to make it work for working people. We know that when the middle class does well, all of us do well — which is why we’re fighting on behalf of working Americans and holding corporations, their wealthy executives, and the politicians who enable them accountable.