National Economic Council Director Kevin Hassett, a top economic advisor to Trump, on Monday rebuked concerns about tariff-related inflation. The Fed, Hassett told CNBC, has been "very, very wrong" in its assessment of a potential resurgence of price increases.

Consumer prices rose at a quicker rate in June, breaking a months-long streak of cooling inflation, the Labor Department said on Tuesday. Why it matters: The data will likely concern economic policymakers,

The acceleration in the CPI reading is bad news for U.S. President Donald Trump, who is pushing for the Federal Reserve to cut interest rates and stimulate the economy. The Fed's Board of Governors has so far resisted cutting rates to see how Trump's tariffs affect prices, concerned that summer would see a spike in inflation.

Excluding the volatile food and energy categories, core inflation increased 2.9% in June from a year earlier, up from 2.8% in May. On a monthly basis, it picked up 0.2% from May to June. Economists closely watch core prices because they typically provide a better sense of where inflation is headed.

Trump could order the Treasury Department to properly define a "capital gain" as any increase in the value of a stock or property AFTER INFLATION ADJUSTING from the time of the purchase of the asset to the time of the sale. In that case, the real rate of tax on capital gains would fall, and investment would rise. And tax revenues would RISE!

The consumer price index for June show that Trump tariffs began to nudge inflation only modestly higher last month.

So, the Trump Administration is arguing there is no real inflation threat, and the Federal Reserve should cut interest rates. The Fed's federal funds rate is a 4.25% to 4.5%.

The Indian rupee is likely to open weaker on Monday after fresh tariff threats from U.S. President Donald Trump intensified concerns over trade tensions, sparking risk aversion and weighing on Asian currencies.