April 30 (UPI) -- The personal consumption expenditures index increased by 3.5% on an annual basis in March, the highest level since 2023.
For the month prices were up 0.7%, driven by rising gas prices that have surpassed $4 per gallon on average in the United States, the U.S. Bureau of Economic Analysis reported.
Core prices minus volatile food and energy increased by 3.2% in March, up from 3% in February.
Since the start of the Iran war on Feb. 28, oil prices have increased more than 50% and gas prices are up more than 40%.
Consumer spending on gasoline and other energy goods had the most dramatic change in March, outpacing health care nearly four times over. Consumers spent about $81.3 billion more on gas and energy, contributing to the $195.4 billion increase in consumer spending.
