The U.S. Bureau of Labor Statistics announced that the inflation rate rose to 3.3% year-on-year in March, marking its highest level since May 2024, driven by a 12.5% increase in energy prices.

Gasoline prices also surged by 18.9% amid supply disruptions linked to tensions in the Middle East, particularly threats to navigation in the Strait of Hormuz.

This comes as Washington pursues diplomatic efforts to de-escalate tensions with Iran, while awaiting the outcome of expected negotiations in Islamabad.