U.S. Inflation Jumps as Fuel and Housing Costs Rise

from BBC

Consumer prices in the US rose faster than expected last month, in a sign that the fight to slow inflation has stalled.

Prices rose 3.5% over the 12 months to March, up from 3.2% in February, the US Labor Department said.

Higher costs for fuel, housing, dining out and clothing drove the increase.

Analysts warned the lack of progress will force the US central bank to keep interest rates higher for longer.

Higher interest rates help stabilise prices by making it more expensive to borrow for business expansions and other spending. In theory, that in turn slows the economy, and eases the pressures pushing up prices.

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