Iran War Tightens the Squeeze on Americans as Inflation Climbs

The worst US inflation in years is once again eating away at Americans’ paychecks, as rising gasoline and grocery prices threaten to undermine household spending.

Fresh government data out Tuesday underscored how the Iran war is reigniting inflation, straining consumers who were already frustrated by the high cost of living. After accounting for rising prices, wages declined in April from a year earlier — the first such drop since 2023.