US Wholesale Inflation Jumps in February, Adding Pressure on Fed Rate Plans

Wholesale prices in the US accelerated in February, showing inflation pressures remain high.
Producer price index rose 0.6% from January, more than expected, driven by higher wholesale gas and grocery prices.
Core inflation, excluding food and energy, was also higher than expected at 0.3% month-over-month.
Data suggests cooling consumer demand with shoppers having run through pandemic savings and putting more spending on credit.
Report illustrates why Fed has signaled a cautious approach to rate cuts, though cuts still expected starting in June.