Key inflation gauge worsened in January, before Iran war lifted gas prices

Inflation gauge monitored by the Federal Reserve rose in January, indicating persistently high prices even before the Iran war spiked oil and gas costs. Prices increased 2.8% year‑over‑year, slightly below December’s rise. Core inflation, excluding volatile food and energy, climbed to 3.1%, the highest in nearly two years, with a 0.4% monthly jump for the second consecutive month.