Inflation Hits 3.8%, Why Mortgage Rates Haven't Budged, Trump in China, and the Gas Tax Debate

This week: A new inflation report shows consumer prices rose 3.8% over the past year, the highest rate since May 2023, with grocery prices posting their largest monthly increase since August 2022. The Federal Reserve cut rates three times last year, but mortgage rates have barely moved, and we explain why. President Trump traveled to Beijing this week for a state visit with President Xi, and we look at how trade policy between the two countries can affect consumer prices. And there is a growing debate over whether to suspend the federal gas tax, so we break down what it is, what it funds, and whether it would actually help at the pump. Sources referenced in this episode: AAA — https://gasprices.aaa.com/ Bipartisan Policy Center — https://bipartisanpolicy.org/explainer/the-hidden-cost-of-a-gas-tax-holiday/ BLS (CPI report) — https://www.bls.gov/news.release/cpi.nr0.htm BLS (full report PDF) — https://www.bls.gov/news.release/pdf/cpi.pdf CNBC (CPI analysis) — https://www.cnbc.com/2026/05/12/cpi-inflation-april-2026-.html CNBC (gas tax) — https://www.cnbc.com/2026/05/12/trump-gas-tax-suspension.html CNN (gas tax) — https://www.cnn.com/2026/05/11/business/federal-gas-tax-suspension-trump CRS/CBO (Highway Trust Fund) — https://www.congress.gov/crs-product/R48472 Freddie Mac — https://www.freddiemac.com/pmms NPR — https://www.npr.org/2026/05/12/nx-s1-5818529/trump-china-iran-war EIA (state gas taxes) — https://www.eia.gov/todayinenergy/detail.php?id=67165 New episodes weekly.