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Fri, 10 Apr 2026

Fri, 10 Apr 2026 Soaring pump prices drive US inflation to highest level in almost two years

A surge in prices at the pump due to the Iran war has pushed the inflation rate to 3.3%.

* US inflation accelerated to a nearly two-year high in March, with consumer prices climbing 3.3% over the past 12 months.
* The jump was driven by surging oil prices triggered by the US-Israel war in Iran, which shut down the Strait of Hormuz and sent energy prices soaring.
* Gas prices rose 21.2% from February to March, the biggest monthly increase since 1967.
* Higher gas prices accounted for nearly three quarters of the rise in inflation from February to March.
* Prices for airline tickets and clothing also increased over the month, reflecting a mix of higher energy prices and lingering impact of tariffs.
* Food prices were unchanged from February to March, but analysts expect them to rise in the months ahead as transportation and fertilizer costs increase.
* The situation has driven the University of Michigan's monthly gauge of consumer sentiment to a record low this month.