Inflation jumps to 4.2%, the highest since early 2023

Consumers and U.S. workers are feeling the pinch of a wage growth rate that lags behind the rate of inflation.

Inflation surged in May to the highest level since early 2023, as Iran war-related fuel costs worked their way through the broader economy.

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Overall, the yearly inflation rate rose to 4.2% in May from a year ago, up 0.5% from April.