U.S. households face intensifying cost-of-living pressures ahead of the midterm elections, despite resilient economic data. The economy added 162,000 jobs in August, unemployment held at 4.1%, retail sales exceeded expectations and household net worth reached $186 trillion in the second quarter. Consumer prices rose 3.4% from a year earlier and 27% from January 2021, while hourly wages increased 3.1% over the same period and trailed inflation for five consecutive months. The average 30-year fixed mortgage rate rose to 6.95% from 6.76% a week earlier, its highest level since January 2025 and more than double its early-2022 level. The Federal Reserve raised its benchmark range by 25 basis points to 3.75%-4.0%, its first increase since 2023, and left open the possibility of further increases before year-end. Fuel costs added to household strain, with diesel reaching a reported record of about $6.40 a gallon and gasoline averaging about $4.44, although other measures cited regular gasoline at $4.43 or $4.319 and diesel at $6.285. President Donald Trump has proposed a $5,000 Trump dividend for every adult U.S. citizen if Republicans retain congressional majorities, subject to congressional approval. The gap between strong headline indicators and household financial sentiment is becoming a central political issue.