U.S. consumer prices increased moderately in February as higher shelter costs were partially offset by cheaper airline fares, giving the Federal Reserve room to keep interest rates unchanged next week while monitoring the economic impact of a trade war.

Uncertainty around the economy, stocks and jobs are taking a toll. One economist labeled the latest reading from the University of Michigan’s index “horrific.”

Long-term inflation expectations jumped in March, showing intensifying consumer worries about President Trump's trade wars.