United States: Inflation drops to lowest level since April in July
Consumer prices dropped 0.02% over the previous month in July, swinging from June’s 1.32% rise. The figure was largely driven by softer growth in prices for housing. In addition, price pressures for transportation declined due to lower fuel prices.
Inflation came in at 8.5% in July, down from June’s 9.1%. July’s figure marked the weakest inflation rate since April and was below market expectations. That said, inflation is still more than four times the Fed’s 2.0% target. Meanwhile, the trend pointed up mildly, with annual average inflation coming in at 7.4% in July (June: 7.2%). Lastly, core inflation was unchanged, coming in at June’s 5.9% in July.