Consumer Prices Reportedly Rose in March Over Soaring Energy Costs, but It's Mostly Good News

Sometimes, it's a good thing when a newsflash turns out to be unsurprising or a situation unfolds about how people expected things to. That was the case on Friday morning with the release of March's Consumer Price Index (CPI) report, from economic data compiled by the Bureau of Labor Statistics.

At first, the blaring headline was the fact that soaring energy prices (10.9 percent) made up most of the bump in March (to 3.3 percent over the past year), and up 0.9 percent from February's number.

But it dipped much lower (0.2) when energy and food prices were left out of the average (core CPI), and some consumer sector prices even declined:

(emphasis added below)

Under President Trump, March core inflation remained low and steady

CNBC: "The 0.2% is a little lighter than expected..." pic.twitter.com/iJKNddojqS

— RNC Research (@RNCResearch) April 10, 2026

The consumer price index increased a seasonally adjusted 0.9% for the month, putting the annual inflation rate at 3.3%, pushed by a 10.9% surge in energy costs. Both numbers were in line with the Dow Jones consensus. The annual rate was the highest since April 2024 and up from 2.4% in February.

However, excluding food and energy, core prices rose much less – just 0.2% for the month and 2.6% from a year ago, both 0.1 percentage point below forecast, indicating that underlying inflation was contained. There even were even pockets of outright price declines, as medical care, personal care, and used cars and trucks all fell during the month.

More on the vehicle prices in a minute. The CNBC report linked above even characterized the current inflation picture as "relatively tame."

And how did the energy spike happen, according to the BLS report? Mostly high gas prices, which were temporarily up before the ceasefire was called in the Iran conflict over the past few days.

The Iran conflict was the story for the monthly inflation reading, as gasoline soared 21.2%, accounting for nearly three-quarters of the headline price increase.

The Trump administration echoes analysts, as the above clip/reporting shows, in pointing out that there's good news, too, with grocery prices continuing to moderate. That was National Economic Council Dir. Kevin Hassett's main message, when he appeared on Fox News on Friday afternoon:

Hassett on the inflation report: "There is a lot of good news, especially in groceries. Egg prices are down to about the lowest level they've been in years. Beef prices dropped a heck of a lot... and even ticket prices... because of the actions we took against Ticketmaster." pic.twitter.com/5mrLmy8A49

— Rapid Response 47 (@RapidResponse47) April 10, 2026

American consumers, in any case, don't seem too spooked by the report, if another CNBC story aired after the news on the consumer price index report is accurate. One analyst on the panel notes that many people are using their 2025 tax refunds... to buy their families a new or used car/truck.

This is a developing story, RedState will provide more information as updates become available.

Editor's Note: President Trump is leading America into the "Golden Age" as Democrats try desperately to stop it.  

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