Trump says U.S. will continue to bomb Iran

But take a look at this data. Inflation is now at a three-year high. Energy prices are a big driver of this increase. The president, who campaigned on lowering prices, was asked about this specifically yesterday.

Are you concerned, Mr. President, about the latest inflation number, which came out this morning? Could that be a headwind for Republicans? No, I love it. The numbers were great. You know what I really love? I love the inflation. CBS News political reporter Kathryn Watson joins us now. Kathryn, that quote may come back to haunt the president, but he did go on to explain that inflation, he thinks, will come down when the war is over. But this comes not long after he said he doesn't think Americans' financial situation matters. He doesn't care about the midterms. So help our viewers understand what's going on here. Yeah, well, Errol, you aren't the only one asking what the president is trying to say here. I saw frustrated Republican operatives asking the same thing, asking how this messaging is supposed to help Republicans in a tense midterm election year. To the comments that you mentioned that the president previously said that he doesn't think about Americans' financial situation, he was trying to say that he doesn't really think about Americans' financial situation as he's negotiating. But, of course, his comments there, his comments on inflation are frustrating some Republicans. These higher prices are, of course, a result of-- or largely a result of the war with Iran. The president said, in trying to explain his comments yesterday about why he thinks these inflation numbers are great, he said that he expected gas prices and the stock market and inflation to be much worse off than they actually are. House Speaker Mike Johnson tried to defend these comments from the president yesterday. Let's listen in.

It was totally out of context. You know what he was talking about. The president is laser focused on the domestic economic situation. He is working to bring down prices. He working to get the Strait of Hormuz reopened. There's all sorts of great economic indicators, but there are still challenges, gas prices among them. But, Errol, that prices aren't as high as they could be when it was the president who, of course, decided to begin this war may not be the most comforting for Americans who are trying to or who are paying so much more at the pump and trying to make their finances work. And the higher prices are driven largely by the Strait of Hormuz being closed, energy prices jumping. And the president says he will bomb Iran again tonight if a peace deal isn't reached. Is that just bluster? Where is the latest on the effort to get to a breakthrough? Yes, well, the president did tell Fox News that he would bomb the crap out of Iran if a deal isn't reached in time. He used slightly different wording. But the president has been insistent that he is willing to use military force, if necessary. As we saw last night, Defense Secretary Pete Hegseth said, "If we need to negotiate with bombs, we'll negotiate with bombs," like that clip said earlier. So the president and his advisors are hoping that the show of might, the show of force will help persuade the Iranians. But, Errol, it's kind of hard to see how a deal would come together that quickly. We are 15 weeks into this war. The president does have an intelligence briefing and policy meetings today, so you can be sure this will come up. Errol.

All right, Kathryn in Washington, Thank you very much.