On the 2024 campaign trail, President Trump promised to “end inflation” and increase affordability, while touting economic proposals widely considered to be at odds with that promise. In April, he dubiously declared victory, saying, “We already solved inflation.”

On Thursday, the Commerce Department reported an increase in the Federal Reserve’s go-to monthly inflation indicator for June, as Trump’s tariff threats start to hit consumers. The personal consumption expenditures, or PCE, price index shows that consumer prices rose 0.3 percent from May to June, up 2.6 percent from last June (whereas economists had forecast a 2.5 percent increase). This marks the highest annual increase in inflation since February.

“Core” prices, which don’t include the costs of food and energy, also increased 0.3 percent from May and 2.8 percent from a year ago.

The rising inflation helps account for the central bank’s ongoing resistance to Trump’s calls to slash interest rates. Things are only expected to get worse as the majority of the president’s tariffs are set to go into effect on Friday.

On Wednesday, the Fed kept interest rates steady for its fifth meeting in a row as it cautiously assesses the effects of Trump’s tariffs on the economy. “Increased tariffs are pushing up prices in some categories of goods,” Fed Chair Jerome Powell said. “Near-term measures of inflation expectations have moved up on balance over the course of this year on news about tariffs.”

The central bank’s refusal to budge has frustrated Trump to no end, with the president calling Powell, whom he appointed in his first term, just about every name in the book, including, but not limited to, “numbskull,” “dumb guy,” “major loser,” and “Trump hater.”