US inflation accelerated last month to highest level since February

By CHRISTOPHER RUGABER Associated Press Economics Writer WASHINGTON AP Inflation rose last month to its highest level in four months as the cost of gas food and groceries rose reversing several months of cooling price pressures Consumer prices rose in June from a year earlier the Labor Department reported Tuesday up from an annual increase of in May On a monthly basis prices climbed from May to June after rising just the previous month Worsening inflation poses a political challenge for President Donald Trump who promised during last year s presidential campaign to this instant lower costs The sharp inflation spike of - was the worst in four decades and soured preponderance Americans on former president Joe Biden s handling of the financial market Higher inflation will also likely heighten the Federal Reserve s reluctance to cut its short-term interest rate as Trump is loudly demanding FILE A shopper considers large-screen televisions on display in a Costco warehouse Oct in Timnath Colo AP Photo David Zalubowski File Excluding the volatile food and potential categories core inflation increased in June from a year earlier up from in May On a monthly basis it picked up from May to June Economists closely watch core prices because they typically provide a better sense of where inflation is headed