Kevin Hassett, Director of the National Economic Council, said rising gas prices are hurting Americans during a White House press briefing.
The statement comes as geopolitical tensions, including conflict related to Iran, disrupt oil supplies and increase financial strain on households. Because fuel costs impact nearly every sector of the economy, the administration's stance on inflation and wage growth is critical for public sentiment.
Hassett acknowledged the immediate difficulty facing consumers. "We understand that people are hurting on that, and we've taken a number of measures to reduce the disruption, and we expect it to be temporary," Hassett said.
While admitting the hardship, Hassett encouraged the public to look beyond daily pump prices to assess their overall financial health. He suggested that the broader economic picture remains positive despite the volatility of energy costs.
"What you need to do is smooth through the ups and downs, look at what's happening to real wages," Hassett said.
The NEC Director noted that the current economic climate has seen a rise in actual earnings. "Real income is up despite higher prices and inflation," Hassett said.
Future relief may depend on international maritime stability. Reports indicate that inflation is expected to drop sharply once the Strait of Hormuz reopens, suggesting that the current price surge is tied to specific geographic bottlenecks in the global oil supply chain.
“"We understand that people are hurting on that... and we expect it to be temporary."”
The administration is attempting to balance an acknowledgment of consumer pain with a narrative of macroeconomic strength. By pivoting the conversation from gas prices to 'real wages,' the NEC is trying to frame the current inflation as a temporary external shock rather than a systemic failure of domestic economic policy.
