A customer shops for produce in an H-E-B grocery store on May 11, 2026 in Austin, Texas. The U.S. Producer Price Index (PPI) suggests that rising fuel prices may be beginning to weigh on wholesale margins, as ongoing tensions in the Strait of Hormuz continue to strain global energy markets. —Brandon Bell—Getty ImagesThe war in Iran, a devastating drought, and President Donald Trump’s sweeping tariff regime have combined to send the prices of basic goods and staples soaring for Americans, according to new figures from the Labor Department. Inflation surged to a three-year high of 3.8% by the end of April, according to the Consumer Price Index on Tuesday, rising faster than wages, which grew by 3.6%. The primary cause of the rise has been the ripple effect from skyrocketing fuel prices resulting from the war in Iran, which has sent the world into global energy rationing and caused increases throughout the U.S. domestic supply chain. Read more: The Global Affordability Crisis Isn’t Going AwayResponding to a question about rising inflation on Tuesday, President Donald Trump told reporters that the “only thing” that matters when discussing Iran is its potential for a nuclear weapon.“I don’t think about Americans’ financial situation. I don’t think about anybody,” he said. “I think about one thing: We cannot let Iran have a nuclear weapon. That’s all.”“As soon as this war is over, you’re going to see inflation go down probably to one and a half percent,” he added.Yet the war has undoubtedly impacted prices not just for…
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