CNN
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US inflation heated back up in June, rising to its highest level in four months, as higher prices — including those from tariffs — packed a bigger punch.
Consumer prices rose 0.3% last month, pushing the annual inflation rate higher to 2.7%, the highest since February, according to the latest Consumer Price Index data released Tuesday by the Bureau of Labor Statistics.
Stock futures moved higher after the report. Dow futures were flat after paring earlier losses. S&P 500 futures gained 0.4% and Nasdaq 100 futures gained 0.65%.
In recent months, President Donald Trump has enacted a sweeping trade policy of tacking steep tariffs on most goods that come in to America.
The sheer breadth of the tariffs as well as the fits-and-starts approach to their implementation has roiled markets and caused heightened uncertainty businesses and consumers as to how much prices would move higher.
June’s data served as a turnabout from the relatively tame inflation readings of recent months, periods marked by falling gas prices, ongoing disinflation in housing, weaker-than-typical travel prices, and businesses loading up their inventories before their import costs surged higher.
Economists were expecting CPI to have risen by 0.3% from May and by 2.7% annually, according to FactSet.
This story is developing and will be updated.
