| US consumers are increasingly fearful of the looming consequences of Trump's tariff campaign as well as rising inflation and the overall outlook for the economy. A University of Michigan survey released Friday indicated consumers expect prices to rise at an annual rate of 4.8% over the next year, up from 4.5% last month. They saw costs rising at an annual rate of 3.5% over the next five to 10 years. The figures underscore continuing consumer anxiety about employment prospects and business conditions. About 63% of consumers expect unemployment to rise in the year ahead, an increase from the prior month and well above the same month in 2024. The Trump administration meanwhile issued more upbeat data for a second day in a row. According to the Bureau of Economic Analysis, a division of the US Department of Commerce, consumer spending remained resilient in July, rising by the most in four months. Economists anticipate higher goods prices to put pressure on inflation in coming months. For now, the US continues to spend, according to the government, but it's unclear how long that momentum will last amid rising prices and a weakening job market. Questions about whether Trump had cause to try to push out Federal Reserve Governor Lisa Cook or whether he is seeking to fire the first Black woman ever appointed to the post on a pretext dominated a court hearing Friday. US District Judge Jia Cobb peppered lawyers for Cook and Trump for about two hours before ending the proceeding without ruling on Cook's request for a temporary order blocking Trump's effort to oust her. The judge didn't indicate which way she is leaning in what's likely to be a landmark case that could determine the future of Fed independence. The president has repeatedly attacked the central bank for not lowering interest rates and has threatened to fire Fed Chair Jerome Powell. His aides have accused Cook, who hasn't been charged with a crime, of mortgage fraud. (Trump himself has been convicted of fraud in New York state court.) Her lawyer, Abbe Lowell, said such allegations have become a "weapon of choice" for Trump as he seeks to remove officials whom he views as obstacles to his agenda. Trump's motive, he argued, signaled he didn't have the necessary cause to fire Cook. An attorney for Trump argued Cook's failure to explain alleged mortgage discrepancies suggests she did something wrong and supports Trump's right to remove her for cause. As part of her lawsuit, Cook suggested that an unintentional "clerical error" may have been behind the mortgage filling. | 
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