US inflation hits 4.2% as energy prices surge (opens in new tab)

U.S. consumer prices rose 4.2% in May from a year earlier, up from 3.8% in April and the fastest annual pace since April 2023, Labor Department data released Wednesday showed. Prices rose 0.5% from April, after monthly gains of 0.6% in April and 0.9% in March. Core prices, excluding food and energy, rose 0.2% on the month and 2.9% from a year earlier. Energy prices accounted for more than 60% of the monthly CPI increase, with overall energy costs up 23.5% from a year earlier and gasoline pric...