Feb. 20 (Bloomberg) -- Consumer prices in the U.S. rose more than forecast in January, indicating that the slowing American economy hasn't alleviated inflation pressures.
The 0.4 percent increase in the cost of living matched the gain in December, the Labor Department said today in Washington. Excluding food and energy, prices rose 0.3 percent, after a 0.2 percent climb a month earlier, leading the so-called core rate to the biggest increase since June 2006. A jump in food and energy costs, rents and clothing prices led the index higher last month. The report underscores that Federal Reserve policy makers can't set aside inflation concerns as they weigh more interest-rate cuts to prevent a recession. http://www.bloomberg.com/apps/ news?pid=20601087&sid=a8REwbs80L08&refer=home
