US Core CPI Rises Less Than Expected Again Despite Tariff Impact

Underlying US inflation rose by less than expected for a fifth month in June even as the details signaled companies are beginning to more meaningfully pass some tariff-related costs to consumers.

The consumer price index, excluding the often volatile food and energy categories, increased 0.2% from May, according to Bureau of Labor Statistics data out Tuesday. While a decline in car prices helped keep a lid on the figure, goods categories exposed to President Donald Trump’s levies including toys and appliances rose at the fastest paces in years.