Surging Energy Costs Push Up Inflation

According to Business Week Online, consumer prices shot up in January at the fastest pace in four months as the cost of gasoline and electricity posted big gains.

The Labor Department said the Consumer Price Index rose by 0.7 percent last month with about 70 percent of that increase coming from higher energy costs. However, the core rate of inflation, which excludes energy and food, rose only 0.2 percent, a moderate increase that was in line with forecasts.