Josh Corbin, a New Yorker, kept a close eye on his gasoline purchases, and tried to stretch his money by only partially filling the tank.
However, these days, he is filling it at the top.
The decision signals that millions of Americans are feeling increased financial breathing room, as gasoline prices hit their lowest level in three years, adding to the rising cost of living. It helps to control.
US inflation – the rate at which prices rise – rose slightly to 2.7% last month, official data showed. Despite the increase, prices are rising much more slowly than in June 2022, when Russia’s invasion of Ukraine sent shockwaves through global oil markets and sent fuel prices soaring.
Although economic data have shown progress for several months, economic discontent remains high, as price increases in other sectors, such as housing, have overshadowed broader improvements.
The issue played a key role in the US election, helping Donald Trump win re-election to the White House last month.
Now, however, surveys show that opinions about the economy are finally starting to brighten, fueled by increased confidence among Trump supporters, among them Mr. Corbin, after the former president’s election victory.
“Compared to two months ago, I would say I feel more confident,” said the 36-year-old property manager. “Hopefully Trump will do something.”
Ironically, the improvement in sentiment is coming just as price developments appear to be stalling.
The inflation rate for November was expected to be 2.7 percent.
But it was more than 2.6 percent in October, the highest rate since then. July
Gas prices — though 8.1 percent lower than in 2023 — rose 0.6 percent from October, while grocery prices rose 0.5 percent during the month.
Prices for used cars, household goods and medical care also rose.
The situation has raised questions about how Trump will deliver on his promises to lower prices for Americans — and what the U.S. central bank, which wants to see inflation around 2%, should do next.
“Inflation in the U.S. is slowly coming back,” said Lindsey James, investment strategist at Quilter Investors.
“This is due to the lack of progress over the past three months, but also due to concerns that the introduction of Trump’s tariffs, coupled with higher US government spending, could create a backdrop for higher inflation.”
The US Federal Reserve cut interest rates for the first time in more than four years in September, citing progress in stabilizing prices.
Many analysts still expect the authorities to announce another interest rate cut at their meeting this month, but have warned that rates are likely to remain higher than previously expected next year as long as petrol In areas outside of the price increase does not begin to decline significantly.
It’s a result that will come as no surprise to Americans like Greer Bowen.
The 48-year-old was diagnosed with cancer in 2017 and now relies on disability payments from the government, which she said have not increased costs in recent years.
While lower petrol prices have helped the situation, he said the savings are not enough to offset higher costs elsewhere.
“You can save here but now you have to move somewhere else,” he said.
Ms Bowen said she believed Trump would try to shake things up but was not yet convinced he would make a difference for the better.
“That has yet to be determined,” he said.