WASHINGTON, July 16, 2008 (AFP) – US consumer prices soared at the strongest pace in 26 years in June, rising 1.1 percent from May, the Labor Department said Wednesday. On a 12-month basis, CPI was up 5.0 percent in June and core CPI was 2.4 percent higher.
Core prices excluding energy and food climbed 0.3 percent, the agency reported.
Most analysts had expected a gain of 0.7 percent in headline inflation and a 0.2 percent rise in core inflation.
The advance in the Labor Department’s consumer price index (CPI) was the sharpest since June 1982, while the core inflation gain was the strongest since January.