U.S. inflation likely picked up a bit last month as President Donald Trump's tariffs start to bite, but lower prices for gas and possibly for air fares and used cars may limit the overall increase.
The government's inflation report, to be released Wednesday, is forecast to show that consumer prices rose 2.5% in May compared with a year ago, according to economists surveyed by data provider FactSet. That would be the first increase in four months and up from 2.3% in April. Excluding the volatile food and energy categories, core prices are projected to have risen 2.9% in May from a year earlier, up from 2.8% in April.
