US inflation surpasses expectations in largest uptick since 2008

The Consumer Price Index for All Urban Consumers rose by 0.9% in June, up from 0.6% in the previous month, while the 12-month rate was at 5.4%, beating a market expectation of 4.9%. As used car and food prices continue to rise, the one-month rate is at its highest since the index rose by 1% in June 2008. The 12-month rate matched the 5.4% recorded in August 2008. The increase puts further pressure on expectations, encouraged by the Federal Reserve, that inflationary pressure is transitory rather than structural. "Whilst the Fed have said that as part of their new framework they wil...