US inflation rises 4.2% in May

U.S. consumer prices continued to climb in May 2026, with the Consumer Price Index for All Urban Consumers rising 4.2% over the previous 12 months. On a seasonally adjusted basis, the overall index increased 0.5% from April, underscoring ongoing price pressures at the headline level. Before seasonal adjustment, the index rose 0.6% in May and reached a level of 335.123 on the 1982-84 equals 100 scale.

The May data show inflation running above the annual pace implied by core categories alone, reflecting the impact of more volatile components such as energy. The figures offer an updated snapshot of how broad price levels are evolving as of late spring 2026.

Excluding food and energy, the index for all items less these categories rose 0.2% in May on a seasonally adjusted basis. Over the past 12 months, this core measure increased 2.9%, indicating more moderate underlying inflation compared with the headline rate. The monthly core rise in May was slower than the overall index, highlighting the influence of energy on total inflation.

The 2.9% annual increase in core prices reflects combined movements across goods and services outside food and energy, including categories such as shelter, transportation services, and medical care. This measure is closely watched as an indicator of more persistent inflation trends.

Energy was a major contributor to the May rise in consumer prices. The energy index climbed 3.9% in May, following a strong gain the previous month. Within this category, the gasoline index jumped 7.0% over the month, amplifying the impact on household budgets and transportation costs.

On a 12‑month basis, the energy index was up 23.5%, while gasoline prices were 40.5% higher than a year earlier. These substantial annual gains underscore how movements in energy markets have translated into higher consumer prices, particularly at the pump.

Shelter, the largest component of household spending in the CPI, also contributed to May’s inflation. The shelter index increased 0.3% during the month. Within shelter, owners’ equivalent rent rose 0.3% and rent of primary residence increased 0.4% in May.

These advances in housing-related costs feed directly into the core CPI measure, adding to underlying inflation even as energy drives headline figures higher. Over the past 12 months, the index for all items less food and energy, which includes shelter, rose 2.9%, capturing the combined effect of housing and other core categories on consumer budgets.

Food prices rose more modestly than energy in May. The overall food index increased 0.2% during the month. Within that category, the food at home index, which tracks grocery prices, edged up 0.1% from April.

Over the 12 months ending in May, the food at home index was 2.7% higher, with the fruits and vegetables index up 6.1%. These figures indicate that while food contributed to inflation, its impact in May was smaller than that of energy and shelter, rounding out a CPI report shaped by divergent trends across major spending categories.