Factors Pouring in American Inflation The jobs' report for May mirrored a tightening labor market scenario in Trump land, with unemployment sinking to 3.8%, its lowest level since the dot-com roar of the early 2000. Yesterday's Labor Department report revealed that U.S. consumer prices in May had logged its biggest gain in the last six years . The U.S. economy is at its full employment level and a stretched workforce market will eventually push up inflation; as employers are trying to brave labor shortages with higher wages.