Wholesale prices soar in March

High energy and food prices drive a 1.1% increase in wholesale inflation.

Inflation at the wholesale level soared in March at nearly triple the rate that had been expected as the costs of energy and food both climbed rapidly.

The Labor Department reported Tuesday that wholesale prices rose 1.1% last month, the largest increase since a 2.6% rise last November, which had been the biggest one-month jump in 33 years. Analysts had been expecting a much more moderate 0.4% rise in wholesale prices for the month.

Core inflation, which excludes energy and food, was better behaved last month, rising by just 0.2%, down from a worrisome 0.5% rise in February.

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