WEST PALM BEACH, Fla. — Inflation remains stubborn as new data released by the federal government Friday show a 3.4% rise in overall prices from August 2025 to August 2026.
"Month after month after month, we're coming in hot," Brian Strow, a visiting economics professor at Florida Atlantic University, said.
The largest jump in prices, he says, is coming from gas and oil, largely from the war with Iran.
WATCH BELOW: Gas, groceries, airfare costs climb as inflation holds firm
Regular unleaded gas is up 28.1% from a year ago as oil tanker traffic overseas is impacting world pricing.
"Everything takes energy costs; any goods you want to buy are going to get to you through transportation," Strow said.
Oil prices also helped drive up the price of air fares, which were up 23.4% from a year ago.
Groceries were also up 2.2% in August from a year ago.
The inflation numbers are also putting more pressure on the Federal Reserve to raise interest rates.
Doing so will also raise borrowing rates for consumers just as the holiday shopping season approaches.
"It'll affect retail sales, it'll affect new car prices, interest rates on new cars if looking to go car shopping, but it will also affect the housing market," according to Strow.
