Excluding food and energy, the increase for core inflation, is forecast at a 0.3% gain, also one-tenth of a percentage point above the previous month.
On a year-over-year basis, headline inflation is expected to show a 3.1% gain and core inflation a 3.7% increase when the Labor Department's Bureau of Labor Statistics releases its latest reading on the consumer price index Tuesday at 8:30 a.m.
On the brighter side, House said lower prices on travel, medical care and other services helped keep inflation in check.
Still, Wells Fargo has raised its full-year inflation forecast.
Focusing on the core personal consumption expenditures price index, the preferred Fed gauge, Wells Fargo sees inflation at 2.5% for the year, versus a prior estimate for 2.2%.
Persons:
Elijah Nouvelage, Dow Jones, Sarah House, Wells, Wells Fargo
Organizations:
Kroger, AFP, Getty, Labor Department's Bureau of Labor Statistics, Fed, AAA, CPI, Wells, New York Fed
Locations:
Atlanta , Georgia, Wells Fargo, isn't