Motley Fool says Trump’s tariffs and the Iran war are spreading inflation beyond energy: core PCE, excluding food and energy, stood at 3.3% in June and July, down from 3.5% in May. It warns sticky prices could complicate Fed policy and threaten AI stocks.
After the Supreme Court ruled 6–3 in February against Trump’s use of the International Emergency Economic Powers Act for his earlier tariffs, a temporary 150-day, 10% global duty expired July 24. In late July, the administration imposed global tariffs of 10%–12.5% on more than 80 countries under Section 301 of the Trade Act.
The article says Iran shut the Strait of Hormuz to virtually all maritime traffic after Trump authorized attacks on Feb. 28, halting about 20 million barrels of petroleum liquids moving daily. It links the conflict to higher costs for petroleum-based goods and shipping, as well as fertilizer shortages and higher produce prices; about one-third of the world’s fertilizer passes through the strait.
