'TURMOIL': Trump pulls plug on Canada trade talks as 'frustration' mounts

Economic Overview - The economy is experiencing strong growth, with second-quarter growth reported at nearly 4% and current indicators suggesting similar growth rates [9][10] - Retail sales have increased year-over-year by approximately 7%, indicating that consumers have disposable income and are actively spending [10] - Industrial production is at an all-time high, reflecting a surge in onshoring production and significant investment in the U.S. [10] Inflation and Consumer Prices - The consumer price inflation report indicates a 3% increase over the last 12 months, which is a slight decrease from previous expectations [3][4] - Special factors, such as a refinery shutdown, have contributed to price increases, particularly in gas prices, but expectations are that inflation is decelerating [5] Trade Relations - Trade talks with Canada have been suspended due to frustrations over progress and an incident involving a misleading advertisement [6][8] - The current trade environment is characterized by tariff turmoil, yet the overall economic indicators suggest resilience despite these challenges [9]