US consumer spending accelerates as prices rise 4.1% and new-home sales fall 7.3% in May

US consumer spending remained strong even as prices rose and new-home sales fell to the lowest level since the start of the year. President Donald Trump ordered the Department of Justice to examine gasoline prices after questioning why pump prices aren’t dropping as quickly as oil costs. The conflict involving Iran has kept energy costs elevated, and summer demand plus fuel-blend requirements have also slowed the decline in gasoline prices. Over the longer run, extreme heat and drought could lift global inflation.