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President Donald Trump has faced no shortage of criticism over his sweeping tariff policy — much of it focused on the risk of higher inflation. But the latest consumer price index report delivered a genuine surprise.
CNBC senior economics reporter Steve Liesman, who issued stark warnings about Trump’s tariffs earlier this year, appeared caught off guard as he read the CPI numbers live on air Thursday morning.
“Oh,” he said, glancing down at the release (1). “Maybe coming in a little bit better than expected.”
He soon added: “I’m not calling, I’m just reading the headlines here, year over year, 2.7. Ex food and energy, core, 2.6. So four tenths off. That is a very good number here.”
Headline U.S. CPI rose 2.7% year over year in November, down from a 3.0% increase in September (2). Core CPI — which strips out volatile food and energy prices — also eased to 2.6% year over year in November, from 3.0% in September.
Liesman has been among the most vocal critics of Trump’s tariff strategy (3). Back in March, he warned bluntly: “I’m going to say this at the risk of my job. What President Trump is doing is insane,” adding that “there’s no bounds around President Trump.”
But on Thursday, as he dug deeper into the latest report, even the month-over-month figures looked encouraging.
“I have not looked at the internals — I’ll look at them now — but it suggests that the internals are good as well,” he said. “Let’s see. … Seasonally adjusted index for all items, less food and energy, rose 0.2% over the two months. So correct my math here … but 0.2 divided by two is 0.1. So therefore that’s a very, very low monthly rate.”
Liesman wasn’t alone in his reaction.
In a separate CNN segment, Harvard economist Ken Rogoff acknowledged he was surprised too.
“I was surprised. It was a better number than anyone was expecting,” he said (4). “People were expecting it to be above 3% — it was well below 3%.”
Rogoff also highlighted the market implications of the softer inflation print.
“I think the president will take this as good news. The investors will think that interest rates will get cut more, so it was positive news — there’s no other way to spin it.”
Markets seemed to agree. Stocks had experienced a four-day slide ahead of the release, but they rebounded sharply on Dec. 18: the Nasdaq Composite jumped 1.4%, while the S&P 500 rose about 0.8%.
That upward momentum carried into Dec. 19, with the Nasdaq up 1.3% and the S&P 500 gaining 0.9%.
The Federal Reserve has already cut its benchmark rate three times in 2025. If inflation continues to cool, it could give policymakers room to deliver additional cuts in 2026 — a potentially favorable backdrop for investors.
Of course, consistently picking winning stocks isn’t easy. That’s why legendary investor Warren Buffett argues that most people don’t need to pick individual companies at all to benefit from the stock market’s growth.
“In my view, for most people, the best thing to do is own the S&P 500 index fund,” Buffett has famously stated (5).
This approach gives investors exposure to 500 of America’s largest companies across a wide range of industries, providing instant diversification without the need for constant monitoring or active trading.
With platforms like Robinhood, you can invest in ETFs like the Vanguard S&P 500 to get a start on your nest egg.
Robinhood also has 24/7 support, and you won’t pay any commission fees on stocks, ETFs and options. Their platform also offers both a traditional IRA and a Roth IRA, so you can benefit from tax-efficient retirement investing.
Even better, new Robinhood customers can also get a free stock curated from top American companies once you sign up and link your bank account to the app.
Lower interest rates don’t just lift stocks — they can also breathe life into the real estate market. When borrowing costs fall, mortgages become more affordable, which can boost demand and support property values.
But real estate isn’t only about benefiting from lower rates. It has also long served as a hedge against inflation, as both property values and rents tend to rise alongside the cost of living.
In fact, real estate has been a cornerstone of wealth-building in America — and President Trump knows that better than most. Before politics, Trump made his fortune in real estate. High-quality properties can generate rental income, offering a dependable stream of passive cash flow.
As Trump told Steve Forbes back in 2011, “I just notice that when you have that right piece of property, whatever it might be, including location, it tends to work well in good times and in bad times (6).”
Buffett has also pointed to real estate as a prime example of a productive, income-generating asset. In 2022, Buffett stated that if you offered him “1% of all the apartment houses in the country” for $25 billion, he would “write you a check (7).”
Of course, you don’t need $25 billion — or even to buy a single property outright — to invest in real estate. Crowdfunding platforms like Arrived offer an easier way to get exposure to this income-generating asset class.
The process is simple: Browse a curated selection of homes that have been vetted for their appreciation and income potential. Once you find a property you like, select the number of shares you’d like to purchase and then sit back as you start receiving any positive rental income distributions from your investment.
Another option is First National Realty Partners (FNRP), which allows accredited investors to diversify their portfolio through grocery-anchored commercial properties without taking on the responsibilities of being a landlord.
With a minimum investment of $50,000, investors can own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, which provide essential goods to their communities. Thanks to Triple Net (NNN) leases, accredited investors are able to invest in these properties without worrying about tenant costs cutting into their potential returns.
Simply answer a few questions — including how much you would like to invest — to start browsing their full list of available properties.
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@CNBCtelevision (1); Bureau of Labour Statistics (2); @RpsAgainstTrump (3); @RapidResponse47 (4); CNBC (5, 7); @Forbes (6)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
