by Mia Taylor
Last updated: 12:09 PM ET, Wed November 11, 2026
The latest Consumer Price Index reveals that the cost of living for Americans has increased for the third straight month amid higher
costs for food and accommodations.
Consumer prices rose 0.4% in October, higher than the 0.3% gain economists projected. The latest CPI increase follows an 0.6% uptick in September and an 0.4% in August. October marks the third consecutive month of gains amounting to 0.4% or more.
Shelter, which includes expenses such as rent and hotel and motel rooms, made up more than 30% of the CPI’s October increase.
The cost of dining out, another factor that affects travelers, also rose in the October report, up 0.5%.
The continually increasing prices are being driven by the US-Israeli attack on Iran, which has driven up oil prices, as well as the Trump administration’s import tariffs, according to Reuters.
Another recent report, this one from Barclays, finds that US consumers are feeling tension this holiday season between family expectations, holiday traditions, financial limitations, and travel realities.
In particular, the Barclays 2026 Holiday Spending & Travel Pulse Survey finds that:
- More than half of Americans (56%) have skipped – or would skip – a holiday gathering entirely because they couldn’t afford it.
- 58% of Americans say this year is more stressful than last year, though sources of stress vary.
- 37% of Gen Z and Millennials say their parents are helping cover their holiday costs this year – up from 26% last year.
- One-third of Americans (34%) hit their breaking point with extended family within 4 hours of arriving.
Still, even with holiday travel costs at a 10-year high, Americans aren’t canceling holiday plans altogether; instead, they’re cutting back, per Barclays.
“Americans are feeling more financial and emotional pressure this holiday season, but they're not willing to give up the traditions that matter most,” the report says.
Instead, consumers are “finding creative ways to manage rising holiday costs - from prioritizing everyday spending and using credit card rewards to leaning on family for financial support.”
Doug Villone, head of US cards and partnerships at Barclays US Consumer Bank. Adds:“Consumers are being deliberate about how they preserve the holiday experiences that matter most to them.”
For the 2026 holiday season, that effort includes consumers and travelers adjusting where they spend, finding new ways to stretch their budgets and putting rewards to work across a broader range of expenses.
For the latest travel news, updates and deals, subscribe to the daily TravelPulse newsletter.
Topics From This Article to Explore
