Core US inflation eases a fourth month, sealing Fed rate cut

Posted on:
Key Points

The so-called core consumer price index which excludes food and energy costs increased 3.2% in July from a year ago, still the slowest pace since early 2021..

The monthly measure rose 0.2%, a slight pickup from Junes surprisingly low reading, Bureau of Labor Statistics figures showed Wednesday...

Inflation is still broadly on a downward trend as the economy slowly shifts into a lower gear. Combined with a softening job market, the Fed is widely expected to start lowering interest rates next month, while the size of the cut will likely be determined by more incoming data...

The most disappointing part of the report was shelter prices, which economists and policymakers have been widely expecting to ease and help move inflation closer to the Feds target..

That measure, known as the personal consumption expenditures price index, doesnt put as much weight on shelter as the CPI does and thats part of the reason why the PCE gauge is trending closer to the Feds 2% target...

You might be interested in

US core inflation slows only a bit, keeping Fed on track to hike

12, Apr, 23

The core consumer price index — which excludes food and energy and is closely watched by the Fed — rose 0.4% from the prior month following a 0.5% gain, in line with economists’ estimates

Oil gains after US, UK strike on Houthis; U.S. yields falls after PPI

13, Jan, 24

By Caroline Valetkevitch NEW YORK (Reuters) -Oil prices rose on Friday as some oil tankers diverted course from the Red Sea after overnight strikes by the U.S. and Britain on Houthi targets in Yemen,

US inflation shows signs of moderating, giving Federal Reserve room to pause

10, May, 23

International Business News: US inflation decreased slightly in April with the consumer price index rising by 4.9% YoY. Federal Reserve officials are expected to be cautiously opt

US consumer prices rise moderately; underlying inflation too hot

13, Apr, 23

US consumer prices barely rose in March as the cost of gasoline declined, but stubbornly high rents kept underlying inflation pressures simmering, likely ensuring that the Federal Reserve will raise interest rates again next month.

China deflation: Recovery falters, prices fall for first time since Feb 2021

09, Aug, 23

China deflation: It was the first year-on-year decline since February 2021. The producer price index (PPI) fell for the 10th consecutive month, down 4.4% from a year ago.

US consumer prices rise more than expected in January

13, Feb, 24

The consumer price index (CPI) increased 0.3% last month after gaining 0.2% in December, the Labor Department's Bureau of Labor Statistics said on Tuesday. Annual revisions to the CPI data published last Friday were mixed, but generally showed inflation was on a downward trend after surging in 2022. In the 12 months through January, the CPI increased 3.1%. That followed a 3.4% advance in December.

US inflation continues upward trend, bolstering Fed’s stance on interest rates

12, Dec, 23

US consumer prices picked up in November, reinforcing the Federal Reserve’s resolve to keep interest rates elevated in the near term.

India's wholesale price index falls below zero for the first time in 3 years in April

20, Feb, 24

WPI fell by 0.92% from the same month a year earlier, having risen 1.34% in March.

US inflation edges higher on rents, gasoline but some relief seen

10, May, 23

Prices for services like airline fares and hotel rooms are also subsiding.