U.S. inflation excluding food and fuel accelerated on an annual basis for the first time since January, a pickup that will be welcomed by Federal Reserve officials debating the pace of interest-rate increases, a Labor Department report showed Wednesday.
While a 1 percent drop in energy prices weighed on overall inflation, the rise in the core gauge was relatively broad- based. Housing costs were a significant factor, with the shelter index climbing 0.3 percent. Prices for medical care, education, air fares and auto insurance also rose, while new vehicles, apparel and recreation showed declines.
