Energy prices remained the main inflation driver. The energy index increased 3.9 per cent in May after rising 3.8 per cent in April, accounting for more than 60 per cent of the monthly increase in the overall CPI. Gasoline prices climbed 7 per cent during the month, while electricity prices rose 0.6 per cent. Natural gas prices, however, declined 0.5 per cent, BLS said in a press release.
US consumer inflation accelerated to 4.2 per cent YoY in May 2026 from 3.8 per cent in April, driven mainly by higher energy costs, according to the Bureau of Labor Statistics.
The CPI-U rose 0.5 per cent month on month, while energy prices increased 3.9 per cent.
Core inflation edged up to 2.9 per cent annually.
CPI-W rose 4.4 per cent and C-CPI-U increased 4 per cent.
Over the past 12 months, the energy index surged 23.5 per cent, led by a 40.5-per cent increase in gasoline prices. Electricity prices rose 5.9 per cent year on year (YoY), while natural gas prices increased 3 per cent.
Core inflation, which excludes food and energy, increased 0.2 per cent in May after a 0.4-per cent rise in April. The annual core inflation rate edged up to 2.9 per cent from 2.8 per cent in April.
Several service-related categories posted monthly gains. Communication prices rose 1.3 per cent, recreation and apparel prices each increased 0.3 per cent, while used car and truck prices edged up 0.1 per cent.
Among other inflation measures, the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 4.4 per cent YoY in May, while the Chained Consumer Price Index for All Urban Consumers (C-CPI-U) rose 4 per cent over the same period.
Fibre2Fashion News Desk (SG)
