The Globe and Mail reports in its Friday edition that U.S. inflation rose in June due to tariffs increasing import costs, aligning with economists' expectations for higher price pressures in the latter half of the year. A Reuters dispatch to The Globe reports that the Personal Consumption Expenditures (PCE) Price Index increased by 0.3 per cent in June, following a revised 0.2-per-cent gain in May. Year-over-year, the PCE Price Index rose 2.6 per cent through June, up from 2.4 per cent in May. The data were included in the advance gross domestic product report for the second quarter published on Wednesday, which showed inflation cooling, though remaining above the Federal Reserve's 2-per-cent target. Economists said businesses were still selling inventory accumulated before President Donald Trump's sweeping import duties came into effect. They expected goods prices to rise in the second half, with businesses passing on the higher costs from import duties to consumers. Fed chair Jerome Powell, responding to questions on the anticipated tariff-related price increases, stated that "a reasonable base case is that these are one-time price effects," but noted the process might take longer than expected to fully understand.