Consumer prices jump in June on surging gasoline costs

Updated

Just call it a mulligan (a golf shot that doesn't count, for you non-golfers). Consumer prices jumped 0.7 percent in June, the U.S. Labor Department announced Wednesday -- but the rise was due to this spring's surge in gasoline prices, something that should not affect inflation long-term, if oil prices continue to drop, as expected.

Overall, the U.S. economy over the past year shows little sign of inflation: consumer prices have actually declined 1.4 percent in the past 12 months – the biggest year decline in prices since 1950.

Economists surveyed by Bloomberg News had expected consumer prices to increase 0.7 percent in June. Consumer prices rose just 0.1 percent in May.

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