The US measure of consumer price inflation rose 1.8 per cent in the year to June, significantly above expectations of a 1.5 per cent increase and the 1.4 per cent from the month before (release).
Month-on-month, the consumer price index (CPI) increased 0.5 per cent, largely down to petrol prices. The food index also increased after a fall in May.
Core inflation excluding volatile products like food and fuel rose 1.6 per cent year-on-year in June - the smallest annual change since June 2011 - and 0.2 per cent month-on-month. The monthly figure was mainly driven up by shelter, medical care and clothing, while downward pressure came from air travel, used vehicles and recreation.