United States: Inflation increases in June
July 14, 2020
Consumer prices rose 0.57% over the previous month in June, contrasting May’s 0.1% dip. A surge in energy and transport was chiefly behind June’s print. Core consumer prices—which exclude volatile items such as food and energy—increased 0.23% in June (May: -0.1% month-on-month).
Inflation accelerated 0.6% in June, which was up from 0.1% in May. Meanwhile, core inflation was stable at May’s 1.2%. The core personal consumption expenditures price index—a gauge of household spending closely tracked by the Fed—ticked down to 0.5% in May, the latest month for which data is available, from 0.6% in April and falling further below the Fed’s 2.0% target.
Author: Steven Burke, Economist