AI Boom Fuels Inflation and Housing Costs | Global News

AI spending is heating up the economy — over $700 billion poured into infrastructure this year, driving up chip, power, and hardware costs and keeping inflation stubbornly high. But there’s a silver lining: June saw the biggest monthly drop in prices in four years, helped by falling gas, clothing, and used car costs. Meanwhile, mortgage rates hit a 12-month high at 6.55%, squeezing homebuyers. Retail sales edged up slightly, boosted by Prime Day, though clothing sales dipped. Unemployment claims hit a 10-week low — good news for jobs — but AI stocks are wobbling as investors question the tech boom’s longevity. Listen in comfort:Get a discount on a Soli Pillow: http://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/4fd2302953485dfd