Wage growth lags behind 3.8% inflation, Heather Long notes

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Parshwa Turakhiya

12.05.2026

Wage growth lags behind 3.8% inflation, Heather Long notes — Inflation now exceeds wage gains

Heather Long reports that inflation in the U.S. is now erasing all recent wage gains for the first time in about three years.

According to Long, consumer price index inflation over the past year was 3.8%, while wage gains stood at 3.6%. She describes this as a significant financial strain for Americans.

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Long recently reported on the S&P 500 rebounding from Iran war losses and nearing a record close. She also covered the closure of the Strait of Hormuz, which drove oil prices higher. The return of inflation-driven wage erosion comes after these major market shifts.

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