US inflation tops 4% for first time in three years, keeping Fed hike in play (opens original article in a new tab)

U.S. inflation hit 4.1% in May, the highest in three years, driven by energy prices and the Middle East conflict, keeping the Federal Reserve's potential rate hike in play despite recent oil price declines.

• U.S. inflation rose to 4.1% in May, the highest in three years due to Middle East conflict and energy prices.
• Federal Reserve may raise interest rates in September as inflation remains elevated despite falling oil prices.
• Consumer spending increased 0.7% in May, supported by tax refunds and stock market gains, but concerns remain about future spending cuts.