The Daily Wrap Up
12 May, 2026
[Transcript edited for clarity, flow and length]
According to new data released this morning, inflation climbed to 3.8% in April, its highest level in nearly three years, as rising energy costs linked to the war in Iran continued to drive prices higher across the country. The Bureau of Labor Statistics said energy costs accounted for more than 40% of the monthly increase, while wage growth slowed to 3.6%, meaning prices are now rising faster than paychecks for the first time since 2023. That is putting even more strain on Americans already struggling with affordability, which, despite what Donald would have people believe, is not a Democratic hoax.
Affordability is one of the most important issues to the American people, and since Donald got back into office in 2025, living in America has become increasingly unaffordable. Before he started his illegal, unconstitutional war of choice in Iran, which is now driving energy prices higher, he began imposing outrageous tariffs on our closest trading partners. That was the original problem with the economy, increasing prices and driving inflation.
Today, Donald heads to China, the country most benefiting from the incompetence of the Trump regime, where he will meet with Chinese President Xi Jinping. Trade tariffs, the war in Iran, energy prices, and growing tensions over Taiwan are all expected to dominate the talks. Meanwhile, on Fox State TV, Interior Secretary Doug Burgum made the administration’s case for its economic agenda.
Here is what he said:
…we should just start with the fact that the US right now is the most energy secure, most energy affordable nation in the world. President Trump playing a geopolitical game, which includes Venezuela stopping China from buying cheap Venezuelan Iranian oil. The work that he’s doing to build a coalition around the world, whether it’s opening the strait or uncritical minerals. Heading into the summit this week, President Trump’s in the strongest position of any US leader ever going into a discussion with China. And again, you take a look at the economic numbers, the United States happening right now that came out last week. US economy is strong. China’s economy is faltering. It’s just a great spot and President Trump’s leadership’s putting us in a great place to come out on top this year in the very near future.
The fluency with which these people lie is truly impressive. China is one of the greatest, if not the greatest, beneficiaries of Donald’s economic missteps, including defunding USAID, which has created a void for China to fill, increasing its soft power. And, of course, there is the war of choice in Iran.
Contrary to what Secretary Burgum claims, one headline on the front page of The New York Times reads that Beijing increasingly views Donald’s America as an empire in decline. The person with the upper hand going into this summit is Xi Jinping.
Yesterday, on the South Lawn of the White House, Donald hosted the national champion Indiana Hoosiers football team. As expected, the event quickly turned into his usual stream of consciousness ramblings, filled with grievances, political attacks, and megalomania. He also tried to squeeze in an economic message as he introduced his top trade official, Jamieson Greer.
Here is what he said:
US trade representative Jamieson Greer, one of the most important men anywhere in the world. We need more tariffs, Jamieson. We need more tariffs.
No, we do not need more tariffs. China is probably hoping we continue to impose them because every time Donald does, it increases the likelihood that our erstwhile economic partners will turn to China.
Before that event, Donald held a maternal health meeting in the Oval Office with the so-called MAHA team, the Make America Healthy Again group, including Robert Kennedy, Mehmet Oz, and a collection of cabinet officials and political cronies. For much of the meeting, Donald appeared to have serious trouble staying awake, repeatedly nodding off unless somebody started talking about him, which seems to be the only thing that keeps him engaged.
He still appeared disoriented afterward on the South Lawn as he attempted to introduce Indiana’s head coach, Kurt Cignetti, who was standing right next to him.
In 2023, shortly after joining Indiana, Kurt ... Who’s Kurt? Kurt Signetti. Where is Kurt Signetti? Right here. Huh? Oh, come here. Come here. Kurt Signetti has turned out to be, I believe, I think he’s the coach of the last decade.
He likely met him before the event and was probably told where he would be standing, but he forgot. That seems to be happening more often.
Donald’s trip to China also includes a handpicked group of billionaire CEOs and corporate executives. Critics say the trip creates the appearance of a pay-to-play environment, with massive corporations receiving direct White House access and potential trade carve-outs.
Here is how Ambassador to China David Perdue defended the trip:
Well, it says we’re united. I mean, it says that the business community is behind President Trump. These people want a level playing field. They’re here to echo what President Trump is talking about and we welcome them and I think the Chinese do as well.
A level playing field. Just like we have electorally.
On Capitol Hill this morning, Pete Hegseth appeared alongside Joint Chiefs Chairman Dan Caine before the House Armed Services Committee, where members questioned the Pentagon about the growing cost of the Iran war and the administration’s proposed $1.5 trillion defense budget.
California Congressman Pete Aguilar asked how much the war has cost taxpayers so far.
Here is what was said:
Aguilar: Yeah, thanks for the question, sir. So at the time of testimony in front of the ask, it was $25 billion, but the joint staff team and the comptroller team are constantly looking at that estimate. And so now we think it’s closer to 29. That’s because of updated repair and replacement of equipment costs and also just general operational costs keep people in theater.
Hegseth: We’ll share what we can. I think we’ve updated on that number this morning, but when it’s relevant and required, we will share it.
Which is to say, never.
Outside estimates suggest the war is costing as much as a billion dollars a day. At the same time, U.S. funding for Ukraine has decreased by about 95% since Donald returned to office in January 2025.
Today in Palm Beach, near Mar-a-Lago, Democrats are holding a new Epstein hearing focused on the controversial plea deal negotiated by Alex Acosta.
Here is what Congressman Robert Garcia said:
Now, we’ve heard testimony from Alex Acosta, former Attorneys General Bill Barr, Les Wexner, Darren Indyck, Richard Khan, folks that are key to the Epstein investigation. We’ve heard from former President Clinton, Secretary Clinton, Commerce Secretary Howard Lutnick just last week. And we have talked, of course, to survivors, witnesses, and whistleblowers. And we have brought critical documents to light from Jeffrey Epstein’s estates, emails, photographs, videos. We secured bank records, documents, and we’ve done all this without formal committee subpoena power to properly conduct this investigation, but we’re undeterred and we’re going to continue to fight till we get the truth.
And this report is just the beginning of numerous reports and information that we intend to put out over the course of the months ahead.
It is good that Democrats are continuing to pursue the Epstein files, especially given the deal Alex Acosta made, which allowed Jeffrey Epstein to avoid meaningful accountability. If Acosta had done his job, countless victims might have been spared.
This is not complicated. We know what happened. Not enough people are aware of it.
