US inflation jumped to a new three-year high of 4.2 per cent in May as the war in the Middle East continues to drive up prices for Americans.
Wednesday’s figure from the Bureau of Labor Statistics was in line with expectations from a Bloomberg poll of economists and up from April’s year-on-year rate of 3.8 per cent.
Core inflation, which strips out volatile food and energy prices, was 2.9 per cent, up from 2.8 per cent the previous month.
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