Inflation's War Tax
May 12, 2026
APRIL 2026 CPI3.8%highest since mid-2023
ENERGY CPI YoY+11.2%largest single contributor
OIL TRANSIT DISRUPTED~20%of global supply via Strait of Hormuz
FED FUNDS RATE4.25%held steady amid stagflation risk
DISINFLATION LOST18 moof progress reversed since Jan 2025
Biden (D)Trump (R)Fed 2% target
Key Questions Answered
Sources:Bureau of Labor StatisticsU.S. Energy Information AdministrationFederal Reserve
Data sources
Consumer Price Index — April 2026 Release· U.S. Bureau of Labor StatisticsShort-Term Energy Outlook — May 2026· U.S. Energy Information AdministrationFederal Open Market Committee Statement· Federal ReserveHistorical CPI Data Series (1947–present)· U.S. Bureau of Labor StatisticsStrait of Hormuz Oil Flow Data· U.S. Energy Information AdministrationThe 1973 Oil Embargo and Its Aftermath· Federal Reserve HistoryEconomic Budget Outlook — Inflation Risk Scenarios· Congressional Budget Office