US inflation has surged in April 2021 from 2020 as the economic recovery picked up, according to a report from the US Labor Department.
Inflation, which measures the rate at which the prices for goods and services increase, was pushed up by higher prices for cars and food in April.
Consumer prices jumped 4.2% in the 12 months through to April 2021, up from 2.6% in March 2021 and marking the biggest increase since September 2008. Some analysts said that the figures could be rising because of temporary factors like supply bottlenecks.
Off the back of the report, US stocks slid. Losses seen around the world have left investor concerned that higher inflation could lead the US central bank to raise interest rates more quickly than had been expected.
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