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U.S. inflation rate leaps to 8.5%

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The rate of U.S. inflation topped 8% in March for the first time in more than four decades and showed little sign of easing up

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The consumer price index jumped 1.2% in the month, driven by the higher cost of gasoline, food and housing

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The rise in the cost of living has been hitting new highs for months. The rate of inflation in the past year moved up to 8.5% in March from 7.9%

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High inflation has alarmed Americans and put the political heat on the Biden administration. Surveys show inflation is the public’s biggest worry

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A separate measure of consumer inflation, meanwhile, that strips out volatile food and energy prices rose 0.3% last month

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The increase in the so-called core rate over the past 12 months rose to 6.5% from 6.4%, marking the biggest upturn since the middle of 1982

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High inflation is showing up everywhere: At gas stations, grocery stores, big-box chains

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The Fed is moving faster than it previously planned to jack up interest rates in an effort to tame inflation

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Higher borrowing costs could slow demand for consumer goods and business supplies and help ease the upward pressure on prices