US wholesale prices spiked 0.9% in July, the biggest jump in three years, signaling potential consumer price hikes.

US wholesale prices surged in July, rising 0.9% compared to June, marking the biggest increase in over three years. This rise in the Producer Price Index (PPI) is attributed to President Trump's tariffs, which are increasing costs for businesses. While costs are currently being absorbed, economists predict these higher costs will eventually be passed onto consumers. The PPI's annual rate increased to 3.3%, with notable price hikes in food and services. This surge in wholesale inflation could affect the Federal Reserve's decision on interest rates.