United States: Inflation returns to positive territory in June as oil price slump fades
July 17, 2015
In June, consumer prices increased 0.3% over the previous month in seasonally-adjusted terms, which followed May’s 0.4% rise. The print was in line with market expectations and marked the fifth consecutive increase. June’s result was driven by a large jump in gasoline prices and suggests that the effect of steep declines in oil prices in earlier months is fading.
Annual inflation came in at 0.1% in June, which was up from the flat reading in May and marked the first positive reading in six months. Moreover, core consumer prices, which exclude food and energy prices, increased 0.2% in June after having increased 0.1% in May. The figure matched market expectations. Annual average core inflation ticked down from 1.8% in May to 1.7% in June.
Author: Carl Kelly, Economist