U.S. May CPI Hits 4.2% Year-Over-Year, Highest in Three Years, on June 11

According to BlockBeats, U.S. May consumer price inflation reached 4.2% year-over-year on June 11, marking the highest level in three years. Energy prices surged 23.5% annually, with gasoline prices jumping 40.5%, accounting for over 60% of the monthly inflation increase.

Core CPI, which excludes food and energy, rose only 0.2% month-over-month, falling short of market expectations. This slowdown in underlying inflation suggests energy shocks have not yet broadly spread to services and consumer spending. The data prompted markets to reassess monetary policy expectations, with traders now focusing on whether the Federal Reserve will adopt a neutral-to-hawkish stance at its next meeting rather than immediately raising rates.