Federal Reserve Latest Report: U.S. Prices Rise Across the Board Due to Tariffs​

On Wednesday (September 3) local time, the Federal Reserve released its Beige Book (a national economic conditions survey report published eight times annually, compiled from the latest surveys of the Fed’s 12 regional reserve banks). The report shows that prices have risen across all Federal Reserve districts in the U.S., with increases linked to newly imposed tariffs.

According to the latest Beige Book, from mid-July to late August, many districts reported particularly notable impacts of tariffs on input costs, with multiple regions noting price hikes in insurance, utilities, and technology services. Some companies have passed on all cost increases to customers.

Businesses contacted by the Fed widely expect prices to continue rising over the next few months.

The report noted that due to increased economic uncertainty and higher tariff rates, wage growth for many households has failed to keep pace with price increases, leading to flat or declining consumer spending across all districts.

In the labor market, employment levels remained largely unchanged in 11 districts, with slight declines in one district. Due to weakened demand or increased uncertainty, seven districts saw businesses hesitant to hire, while two districts reported increased layoffs.

Additionally, the National Retail Federation (NRF) forecasts that total U.S. imports in 2025 will decline by 5.6% year-over-year. Considering that sales volume actually grew by 3.6% in the first seven months of 2025, this projection translates to a 17.5% drop in container volumes for the remaining five months of 2025, with some months seeing declines exceeding 17.5%.