Washington, DC, United States (4E) – Consumer prices increased in June but at a slower pace excluding costs of gasoline, a sign of steadying inflation that could ease pressure on Federal Reserve officials as they decide the timing of raising interest rates.
The consumer-price index (CPI), a key gauge of what U.S. consumers pay for everything from food to services, rose to 0.3 percent on a seasonally adjusted basis from the previous month, according to the Labor Department report released Tuesday.
Excluding the volatile costs of food and energy, the CPI climbed 0.1 percent in June from the prior month.
Food prices had climbed in recent months but eased in June to a 0.1 percent rise from May, its smallest monthly gain since January. Economists polled by The Wall Street Journal had forecast a 0.3 percent rise for the CPI in June, and a 0.2 percent increase excluding food and energy.
The CPI edged higher 2.1 percent in June from the previous year, similar as May’s annual gain. Excluding food and energy, the index climbed 1.9 percent in June from the previous year, down from the 2 percent annual rise in May.