US Inflation Seen Picking Up With Some Tariff Pass-Through

Forecasters say underlying US inflation likely picked up in May, reflecting a modest impact from tariff pass-through for goods that are mostly imported, while some services like airfares saw smaller price gains or outright declines.

The consumer price index is seen rising 0.3% from April after increasing 0.2% the previous month, excluding the volatile food and energy categories. On a yearly basis, the estimated 2.9% increase would mark a reversal of a downtrend so far this year, based on the median forecast in a Bloomberg survey of economists.