US inflation jumps to highest level in almost two years

Inflation in the US accelerated last month to its highest rate in nearly two years, as higher oil prices triggered by the US-Israel war in Iran started to spill over into the wider economy.

Consumer prices climbed 3.3% over the 12 months to March, picking up from 2.4% in February, the Labor Department said.

That marked one of the the biggest monthly changes since 2022, when the world was dealing with an energy shock brought on by Russia’s invasion of Ukraine.

Last month's increase was driven by a surge in prices at the pump, as the war’s shutdown of the Strait of Hormuz sent oil prices soaring, according to the report.