Consumer prices up 0.1% in May

Associated Press

WASHINGTON

U.S. consumer prices rose slightly last month, as higher energy costs partly offset cheaper food. The small increase is further evidence that consumers are benefiting from mild inflation.

The consumer price index ticked up a seasonally adjusted 0.1 percent in May from April, the Labor Department said Tuesday. Over the past 12 months, prices have risen just 1.4 percent.

Excluding volatile food and gas costs, core prices rose 0.2 percent in May from April. Core prices are up just 1.7 percent over the past 12 months, in line with the Federal Reserve’s inflation target of 2 percent.

“Inflation has faded to only a minor irritant,” Michael Montgomery, an economist at IHS Global Insight, said in a note to clients.