Market Update: We break down the business implications, market impact, and expert insights related to Market Update: Inflation Up, Economy Slows, Tariffs Hurting Small Business – RVBusiness – Full Analysis.
EDITOR’S NOTE: The following are excerpts from three economy-related stories by the Association Press.
WASHINGTON (AP) — A key inflation gauge accelerated in December to the fastest pace in nearly a year, showing how prices are still rising more quickly than most Americans would prefer — and faster than the Federal Reserve’s target of 2% a year.
Prices rose 0.4% in December from the previous month, up from 0.2% in November, the Commerce Department said Friday in a report that was delayed by the six-week government shutdown last fall. The monthly increase was the highest since last February. Compared with a year ago, inflation rose 2.9% in December, up from 2.8% in November. That is the largest yearly increase since March 2024.
Core prices — which exclude the volatile food and energy categories — also rose 0.4% in December from the previous month, up from 0.2% in November. That is also the highest since last February. Core prices jumped 3% in December from a year ago, faster than November’s 2.8% increase.
Click here to read the full Associated Press report.
WASHINGTON (AP) — U.S. economic growth slowed in the final three months of last year, dragged down by the six-week shutdown of the federal government and a pullback in consumer spending.
The nation’s gross domestic product — the output of goods and services — increased at a 1.4% annual rate in the fourth quarter, the Commerce Department reported Friday, down from 4.4% in the July-September quarter and 3.8% in the quarter before that.
Consumer spending rose just 2.4%, a significant slowdown from the third quarter’s healthy 3.5% gain.
The report also underscores an odd aspect of the U.S. economy: It is growing steadily, but without creating many jobs. Growth was a fairly healthy 2.2% in 2025, yet a government report last week showed that employers added less than 200,000 jobs last year — the fewest since COVID struck in 2020.
Click here to read the full Associated Press report.
WASHINGTON (AP) — Tariffs paid by midsize U.S. businesses tripled over the course of past year, new research tied to one of America’s leading banks showed on Thursday — more evidence that President Donald Trump ‘s push to charge higher taxes on imports is causing economic disruption.
The additional taxes have meant that companies that employ a combined 48 million people in the U.S. — the kinds of businesses that Trump had promised to revive — have had to find ways to absorb the new expense, by passing it along to customers in the form of higher prices, employing fewer workers or accepting lower profits.
“That’s a big change in their cost of doing business,” said Chi Mac, business research director of the JPMorganChase Institute, which published the analysis Thursday. “We also see some indications that they may be shifting away from transacting with China and maybe toward some other regions in Asia.”