Inflation rises in June, in line with economic forecasts

Inflation ticked upward in June, rising 0.3% in June compared to 0.1% in May, according to a government report.

The Consumer Price Index rose 2.7% on a yearly basis compared to 2.4% for the 12 months ending in May, the Bureau of Labor Statistics said.

The annualized rate was in line with Wall Street predictions, though the increase could complicate President Trump’s push for the Federal Reserve to slash interest rates.

The Fed has an inflation target rate of 2%.

Core inflation, which excludes volatile food and energy prices, rose 2.9% for the year, sparking fears that Mr. Trump’s tariffs are starting to have an effect.