If inflation continues to edge up, it could give Fed officials further pause. A stable or softer reading could aid in the case for a rate cut in September.

U.S. inflation increased in June as tariffs boosted prices for imported goods like household furniture and recreation products, supporting views that price pressures would pick up in the second half of the year and delay the Federal Reserve from resuming cutting interest rates until at least October.

The price index was the latest indication that President Trump’s tariffs are beginning to show up in consumer prices.