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Consumer price index inflation report June 2026:
CNBC • • general
Key Points:
- Consumer prices in the U.S. fell by 0.4% in June, marking the largest monthly decline in over six years, primarily driven by a 5.7% drop in energy prices, according to the Bureau of Labor Statistics.
- The annual inflation rate decreased to 3.5%, below economists' expectations of 3.8%, with core inflation (excluding food and energy) remaining flat at 2.6%.
- Services costs, important for gauging long-term inflation, showed significant moderation, with shelter costs rising only 0.1% and transportation services declining 0.3%.
- Despite the easing inflation data, Federal Reserve officials are unlikely to cut interest rates soon, with expectations of a rate hike in September to continue combating inflation.
- Fed leaders, including Chairman Kevin Warsh, emphasize a strong commitment to achieving price stability and controlling inflation, signaling cautious monetary policy ahead.
