FINANCIAL TIMES: Core US consumer prices rose at their fastest rate for five years in May, making it almost impossible for the Federal Reserve to ponder further monetary easing.
Excluding volatile food and energy prices, the consumer price index grew by 0.3 per cent from April to May, the most rapid increase since 2006. Compared with a year earlier prices rose by 1.5 per cent.
Although temporary factors have exaggerated the rise, there has been an upward trend in core inflation since the year-on-year trough of 0.6 per cent last October, leaving the central bank with little scope to spur growth while meeting its inflation objective of 2 per cent… (more)
