01 Nov 2025 | 5 Mins Read
Tariffs may raise holiday consumer prices
Flipitmoney
Tariffs are expected to contribute to elevated consumer prices during the holiday season. Economist Aditya Bhave, at Bank of America, estimates tariffs will add 0.5% to the core PCE inflation rate. Without tariffs, inflation would be around 2.4%, instead of 2.9% this September. The Federal Reserve aims to keep core inflation at 2%, which it has exceeded since 2021.