U.S. consumer prices rebounded in February as gasoline prices rose for the first time since June, and there were also signs of an uptick in underlying inflation pressures, which could keep a June interest rate increase on the table.
The U.S. Labor Department said on Tuesday its Consumer Price Index increased 0.2% last month after declining 0.7% in January. That ended three straight months of declines in the index.
In the 12 months through February, the CPI was unchanged after slipping 0.1% in January. Economists polled by Reuters had expected the CPI to rise 0.2% from January and slip 0.1% from a year ago.
Federal Reserve officials have long viewed the energy-driven weakness in inflation as transitory. The U.S. central bank, which has a 2% inflation target, has kept its short-term interest rate near zero since December 2008.
