Sunday, June 28, 2026

Inflation Gauge Hits Three-Year High as Mortgage Rates Rise

The economy and rising prices are important topics in the US right now. People feel the effects when shopping for groceries and fuel. Costs are making it hard for families and businesses.

In May, a measure of inflation, which shows how prices change, went to its highest point in three years. Gas prices increased significantly. This increase might create problems for President Donald Trump as elections approach. Consumer prices went up by 4.1% compared to last year. This is the largest rise since April 2023.

Apple has announced higher prices for its products. This is due to a shortage of memory chips needed for making technology like computers. The price for a basic MacBook Neo is now $699, which was $599 before.

In January to March, the US economy grew by 2.1%. This is better than the last month of 2025 when the economy only grew by 0.5%. However, people are spending less because of the high prices for gas.

The average mortgage rate in the US is also rising, which means people will pay more for loans on houses. Lastly, fewer people applied for jobless aid last week, showing some stability in jobs despite economic challenges.

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Vocabulary List:
6 words · tap to reveal
ON

Accent

inflation/ɪnˈfleɪʃən/noun
when prices go up over time

economy/ɪˈkɑnəmi/noun
how money and jobs work in a country

measure/ˈmɛʒɚ/noun
a number or value that shows amount

shortage/ˈʃɔrtɪdʒ/noun
not enough of something people need

mortgage/ˈmɔrɡɪdʒ/noun
a loan to buy a house

stability/stəˈbɪlɪti/noun
when things do not change much

How much do you know?

What measure of inflation reached its highest point in three years in May?
Consumer Price Index
Producer Price Index
Core Inflation Rate
Annual Inflation Rate
By how much did consumer prices increase compared to last year?
2.1%
4.1%
3.5%
5.2%
What is the new price for a basic MacBook Neo?
$599
$699
$749
$799
What was the US economy growth rate from January to March?
0.5%
1.0%
2.1%
3.0%
What has caused Apple to announce higher prices for its products?
Increase in demand
Shortage of memory chips
Rise in labor costs
Increase in tariffs
What does a rising average mortgage rate imply for borrowers?
Lower monthly payments
Higher monthly payments
No effect on payments
More applications for loans
Gas prices have decreased significantly.
Consumer prices have risen by 4.1% compared to last year.
In January to March, the US economy grew by 0.5%.
Apple's price increase is due to a surplus of memory chips.
Fewer people applied for jobless aid last week.
The last month of 2025 saw significant economic growth.
The economy and rising prices are important topics in the US right now. People feel the effects when shopping for groceries and fuel, as costs are making it hard for families and .
In May, a measure of inflation showed prices at their highest point in three .
The price for a basic MacBook Neo is now $699, which was $ before.
The US economy grew by 2.1% from January to .
The average mortgage rate in the US is rising, meaning people will pay more for on houses.
People are spending less because of high prices for .
This question is required

Test Your Understanding

Start Quiz
Vocabulary List:
6 words · tap to reveal
ON
Accent
inflation/ɪnˈfleɪʃən/noun
when prices go up over time
economy/ɪˈkɑnəmi/noun
how money and jobs work in a country
measure/ˈmɛʒɚ/noun
a number or value that shows amount
shortage/ˈʃɔrtɪdʒ/noun
not enough of something people need
mortgage/ˈmɔrɡɪdʒ/noun
a loan to buy a house
stability/stəˈbɪlɪti/noun
when things do not change much

How much do you know?

What measure of inflation reached its highest point in three years in May?
Consumer Price Index
Producer Price Index
Core Inflation Rate
Annual Inflation Rate
By how much did consumer prices increase compared to last year?
2.1%
4.1%
3.5%
5.2%
What is the new price for a basic MacBook Neo?
$599
$699
$749
$799
What was the US economy growth rate from January to March?
0.5%
1.0%
2.1%
3.0%
What has caused Apple to announce higher prices for its products?
Increase in demand
Shortage of memory chips
Rise in labor costs
Increase in tariffs
What does a rising average mortgage rate imply for borrowers?
Lower monthly payments
Higher monthly payments
No effect on payments
More applications for loans
Gas prices have decreased significantly.
Consumer prices have risen by 4.1% compared to last year.
In January to March, the US economy grew by 0.5%.
Apple's price increase is due to a surplus of memory chips.
Fewer people applied for jobless aid last week.
The last month of 2025 saw significant economic growth.
The economy and rising prices are important topics in the US right now. People feel the effects when shopping for groceries and fuel, as costs are making it hard for families and .
In May, a measure of inflation showed prices at their highest point in three .
The price for a basic MacBook Neo is now $699, which was $ before.
The US economy grew by 2.1% from January to .
The average mortgage rate in the US is rising, meaning people will pay more for on houses.
People are spending less because of high prices for .
This question is required

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