Inflation Takes Biggest 12-Month Leap Since 1990s, Key Report Shows

Woman shopping, going up escalator

A key index used by the Federal Reserve to measure inflation showed that consumer prices leapt quicker over the last 12 months than they have in three decades.

The personal consumption expenditures (PCE) index surged 3.9% in the 12-month period between June 2020 and May, according to the Department of Commerce report released Friday. The PCE index excluding volatile food and energy prices increased 3.4%, the biggest leap since the 1990s, CNBC reported.

Energy prices increased 27.4% while food prices increased 0.4% over the last 12 months, the report showed.

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