Prices for goods and services, excluding food and energy, shot up 0.9% in June on a month-over-month basis, according to the Core Consumer Price Index reading published this morning.
Why it matters: That’s an an uptick from May’s monthly change of 0.7%. Economists were expecting an increase of 0.4%.
- Including energy and food prices, the headline CPI figure shows a 0.9% monthly increase, compared to a 0.6% uptick in May.
- On a yearly basis, June prices were shot up to 5.4%, compared to the 5% change in May.
The big picture: June’s core CPI reading complicatesexpectations that inflation peaked in the second quarter.
- Prices are 4.5% higher compared to last year, the highest annual increase in nearly 30 years. That's also a pickup from the 3.8% year-over-year figure reported a month ago.
- Meanwhile, consumer expectations for inflation over the coming year reached their highest level ever, according to a survey released Monday by the Federal Reserve Bank of New York.
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