The Labor
Department reported on Thursday the U.S. consumer price index (CPI) slipped 0.1
per cent m-o-m in June, following an unrevised flat m-o-m performance in
the previous month. This marked a break in a 48-month
streak of monthly gains in prices.
Over the last
12 months, the CPI increased by 3.0 per cent y-o-y, decelerating from an unrevised advance of 3.3 per cent y-o-y reported for the
period ending in May. This was the weakest 12-month rise since June 2023 (+3.0 per cent).
Economists had forecast
the U.S. CPI to increase 0.1 per cent m-o-m and 3.1 per cent y-o-y.
According to
the report, the index for gasoline declined 3.8 per cent m-o-m, more than
offsetting a 0.2 per cent m-o-m gain in the shelter index. Meanwhile, the index for food went
up 0.2 per cent m-o-m.
The core CPI,
excluding volatile food and fuel costs, edged up 0.1 per cent m-o-m in June after an unrevised 0.2 per cent m-o-m rise in the previous month. This
was the weakest monthly increase in core CPI since August 2021 (+0.1 per cent
m-o-m).
In the 12
months through June, the core CPI jumped by 3.3 per cent, following an unrevised 3.4 per cent jump for the 12 months ending May. This marked the weakest 12-month
increase since April 2021 (+3.0 per cent).
Economists
had foreseen the core CPI to rise by 0.2 per cent m-o-m and 3.4 per cent y-o-y for
June.