All eyes on the Fed's next move as US inflation jumps to 5% in May

Beating analysts' expectations

US inflation jumped to 5% year-on-year in May from 4.2% in April, beating analysts’ expectations of a 4.7% increase, as the US economy continues its swift recovery from the shock of the pandemic.

Core inflation also increased to 3.8% year-on-year, more than the expected 3.5%, marking the fastest annual rate of increase since June 1992. The surge in core inflation is in part due to the successful...