US Consumer Prices Rise as Expected in July, Annual Rate at 3.4%
- US July CPI rose 0.1% MoM, matching forecasts.
- Annual inflation eased to 3.4% in July from 3.5%.
- Core inflation cooled to its slowest pace since 2021.
The U.S. Consumer Price Index (CPI) for July increased by 0.1% month-over-month, aligning with economist expectations after a 0.4% decline in June. The annual inflation rate held steady at 3.4%, also as anticipated. Core CPI, which excludes volatile food and energy components, rose by 0.2% in July, matching forecasts after being unchanged the prior month. These figures indicate a moderation in price pressures across various goods and services, potentially easing the immediate need for an interest rate hike by the Federal Reserve.
U.S. consumer prices advanced by 0.1% in July, matching economist estimates, after falling by 0.4% in June. The annual inflation rate edged down to 3.4% in July from 3.5% in June, also in line with expectations. Notably, core inflation cooled to its slowest pace since 2021.