Inflation Outpacing Wages for 40% of Americans


Posted originally on Aug 1, 2025 by Martin Armstrong |  

Inflation

Wages in America have been unable to keep up with inflation. A new report by the Atlanta Fed found that 40% of America’s workforce now earns less than the inflation-adjusted cost of living, which is primarily affecting the lowest earners. Wages outpace inflation in thriving economic conditions, but we are amid a wave of stagflation.

The Wage Tracker data found that 57% of the US workforce experienced pay increases that did outpace the cost of living, but the remaining 43% are facing a decline or stagnation in lifestyle. Nominal wage growth was 3.4% from June 2024 to June 2025 while inflation was 2.7% for that same period, meaning that pay has outpaced inflation by a mere 0.7 percentage points. Last month, the three-month average annual growth in the Atlanta Fed Tracker was 4.2% or 1.5 percentage points above CPI. Real wage growth adjusted for inflation was around 0.7%, adding about $9 per week extra for the average American.

Low and middle-income households reported feeling the brunt of the price increase, with 76% of lower and moderate-income respondents declaring that their financial well-being is in jeopardy as the essentials are rising rapidly in comparison to pay.

Electrical engineers saw the highest increase in wages with a 6.3% rise, followed by legal and marketing with an increase of 5.1%, and project management at 4.6%. Physicians and surgeons saw the highest increases amid COVID, but that pay growth trend has not continued as they are earning only 0.8% more this year on average. Driving (1%), software development (1.4%), and logistic support (1.7%) were among the slowest growing categories. Naturally, many of these professionals were already earning a living that outpaced any inflationary gains.

Wages were outpacing inflation as of early 2024, a stark turnaround from the historically high inflation felt in 2022. It is of no surprise that over half (52%) of Americans reported that they believe their income is not rising to meet inflation, with only 11% of respondents feeling that their wages are surpassing inflation. Northwestern Mutual’s 2025 Planning & Progress Study also found that 51% of US adults believe inflation will continue to rise in 2025. In comparison, only 25% believe prices will come down, while 24% believe it will stagnate.

Again, 57% of the workforce is experiencing a rise in pay that has outpaced inflation. The problem here is that low-wage earners lack the ability to increase their value at their place of employment. Companies are routinely outsourcing these roles to third-party nations like India where lower wages are sufficient to meet the cost of living. This risks an increase in the welfare state that ends up trickling down to the taxpayers.

President Donald Trump Signs Executive Order Reinstating the Presidential Fitness Exam – With Press Questions


Posted originally on CTH on July 31, 2025 | Sundance

President Donald Trump signed an executive order today reinstating the Presidential Fitness Exam. After the remarks with the President’s Council on Sports, Fitness, and Nutrition, and executive order signing, President Trump took questions from the press pool. WATCH:

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President Trump Announces 50 Percent Copper Tariff and Restart of de Minimis Tariffs


Posted originally on CTH on July 31, 2025 | Sundance

In a series of announcements, the Trump administration has retriggered the suspension of the de minimis exemption which will begin tariffs on imported small shipment foreign goods globally and from Canada, Mexico, China and Hong Kong specifically.  {SEE HERE}

The suspension of the de minimis exemption means direct to consumer product shipments valued under $800 will again be subject to tariffs.

Additionally, President Trump has triggered a 50% tariff on imported copper except for those nations who have a free trade agreement in place for their copper component goods.  {SEE HERE}

WHITE HOUSE – STRENGTHENING AMERICA’S COPPER INDUSTRY: Today, President Donald J. Trump signed a Proclamation to address the effects of copper imports on America’s national security, including by imposing tariffs on several categories of copper imports.

  • The Proclamation imposes universal 50% tariffs on imports of semi-finished copper products (such as copper pipes, wires, rods, sheets, and tubes) and copper-intensive derivative products (such as pipe fittings, cables, connectors, and electrical components), effective August 1.
  • The copper 232 tariffs apply to the copper content of a product; non-copper content of a product remains subject to reciprocal tariffs or other applicable duties. These tariffs do not stack.
  • The copper 232 tariffs do not stack with auto 232 tariffs. If a product is subject to auto 232 tariffs, then the auto 232 tariffs apply, not the copper 232 tariffs.
    • Copper input materials (such as copper ores, concentrates, mattes, cathodes, and anodes) and copper scrap are not subject to 232 or reciprocal tariffs.
  • The Proclamation directs the Secretary of Commerce to establish a product “inclusion” process to add copper derivative products to these tariffs.
  • The President is also authorizing the Secretary of Commerce to take steps under the Defense Production Act to support the domestic copper industry, including:
    • Requiring 25% of high-quality copper scrap produced in the United States to be sold in the United States. This will improve access to this important feedstock for domestic fabricators and secondary refiners.
      • Commerce also recommended an export licensing requirement for high-quality copper scrap to ensure adequate domestic supply.
    • Requiring 25% of copper input materials (such as copper ores, concentrates, mattes, cathodes, and anodes) produced in the United States to be sold in the United States – starting at 25% in 2027, increasing to 30% in 2028 and 40% in 2029. This will boost U.S. refining capacity by ensuring low-cost inputs while domestic refiners grow their operations.
  • By taking these actions, President Trump is leveling the playing field for U.S. copper businesses to support a strong domestic copper industry.

ADDRESSING THE EFFECTS OF COPPER IMPORTS: The Proclamation follows the Secretary of Commerce’s completion of a Section 232 investigation under the Trade Expansion Act of 1962, as amended.

  • President Trump directed the initiation of the Section 232 investigation through Executive Order 14220 of February 25, 2025, “Addressing the Threat to National Security from Imports of Copper.” The investigation found that:
    • Copper is essential to the manufacturing foundation on which U.S. national and economic security depend. Copper is a necessary input in a range of defense systems, including aircraft, ground vehicles, ships, submarines, missiles, and ammunition. It is the Department of Defense’s second-most used material, and it plays a central role in the broader U.S. industrial base.
    • Foreign competitors’ predatory practices and excessive environmental regulations have undercut the American copper industry and domestic investment in smelting, refining, and fabrication facilities.
    • The U.S. now has a massive trade deficit in, and an unsustainable dependence on, many foreign copper products.

REVITALIZING DOMESTIC INDUSTRY AND REDUCING TRADE IMBALANCES: This Proclamation builds on previous actions taken by the Trump Administration to ensure U.S. trade and industrial policies serve the national interest.

  • On Day One, President Trump established his America First Trade Policy to make America’s economy great again.
  • President Trump signed Proclamations to close existing loopholes and exemptions and elevate tariffs on steel and aluminum to 50%.
  • President Trump implemented a 10% additional tariff on imports from China in response to China’s role in the border crisis.
  • President Trump imposed reciprocal tariffs to take back America’s economic sovereignty and address nonreciprocal trade relationships that threaten our economic and national security.
  • President Trump has issued several Executive Orders and Presidential Memoranda to boost mining, manufacturing, and investment in domestic industry, including by reducing regulations and eliminating bureaucracy.
  • President Trump signed a Memorandum to safeguard American innovation, including the consideration of tariffs to combat digital service taxes, fines, practices, and policies that foreign governments levy on American companies.
  • President Trump has initiated several other Section 232 investigations in addition to the one on which he is taking action today.

James Burnham On Retribution For Man Targeted Under Biden DOJ


Posted originally on Rumble By Bannon’s War Room on: July 30, 2025

President Trump Delivers Remarks On Making Health Technology Great Again


Posted originally on Rumble By Bannon’s War Room on: July 30, 2025

Episode 4669: GDP Up 3% And Private Sector Growth


Posted originally on Rumble By Bannon’s War Room on: July 30, 2025

Bannon BLASTS Senator Thune: Predicts Late September Omnibus PACKED With Federal Spending


Posted originally on Rumble By Bannon’s War Room on: July 30, 2025

Antoni On 3% Growth: “GDP Report Is An Absolute Blockbuster, Completely Defies Expectations.”


Posted originally on Rumble By Bannon’s War Room on: July 30, 2025

Why US GDP Rose 3% Q2 2025


Posted originally on Jul 31, 2025 by Martin Armstrong  

GDP 3

Data from the Commerce Department shows that the US gross domestic product rose 3% in Q2 on a seasonally inflation-adjusted basis. The figure may have surpassed estimates by around 0.7%, but it does not indicate the beginning of a rising trend.

First, the figure has already been adjusted for inflation to fit a narrative. The first quarter saw a sharp uptick in imports as businesses attempted to avoid tariffs. Imports then declined by an astounding 30.3% last quarter, with exports falling by 1.8%. A good portion of the final figure is due to net trade swings that distorted the reading. Demand did not necessarily fall in Q2, but was offset by the surge experienced during the uncertainty at the beginning of the year.

GDP rises when imports drop due to the Keynesian formula: GDP=C+I+G+(X-M).

  • C = Consumer Spending
  • I = Investment (business capital spending, housing, inventories)
  • G = Government Spending
  • X = Exports
  • M = Imports

Imports (M) are subtracted from this calculation as GDP measures the DOMESTIC production. A rise in imports is considered an indicator that more goods were produced abroad, therefore, they subtract them from GDP. When imports decline, (X-M) rises and leaves the impression that fewer foreign goods/services were consumed in the US. Imports declining should not be considered growth, but the US refuses to move away from Keynesian model thinking.

Consumer spending, two-thirds of total GDP, rose by 1.4%, but this was offset by a decline in business spending. Final sales to private domestic purchases rose 1.2% in Q2 compared to 1.9% in Q1, indicating weakening demand. Unemployment declined to 4.1% in June after the economy added around 150,000 new positions this year.

This is neither a reason to celebrate nor a reason for concern. Every headline is praising the 3% uptick as a major win without realizing that not much has changed—the American economy is still experiencing stagflation.

President Trump Recaps Excellent Economic News and Holds a ‘Making Health Technology Great’ Event


Posted originally on CTH on July 30, 2025 | Sundance

President Trump recaps the latest strong economic numbers and launches the CMS Digital Health Tech Ecosystem during an event at the White House today.  WATCH:

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