Inflation Rate Grows to 4.2%, a 3-Year High

The U.S. inflation rate continues to accelerate at an accelerating pace due in large part to the Iran War. On June 10 the U.S. Bureau of Labor Statistics (BLS) issued its Consumer Price Index (CPI) for May which shows an annual inflation rate since the beginning of the war soaring past March’s 3.2% rate and April’s 3.8%, to reach 4.2% in May. This is the third straight month where the consequences of the Iran War can be visibly measured in the domestic economy. In addition to the Iran War, analysts also blame new tariffs and the boom in data center construction which is driving up prices of semiconductors and consumer electronics.