US Inflation Drops to 3.5% in June, Beating Expectations After 4.2% Peak
US consumer price inflation fell to 3.5% year-over-year in June, coming in below what analysts had forecast. That follows a three-year high of 4.2% the prior month, making the drop a significant single-month swing. Falling gasoline prices were the primary driver of the decline.
A softer inflation print raises the probability that the Federal Reserve will cut interest rates sooner rather than later. Lower rates are generally good for stocks, bonds, and rate-sensitive sectors like real estate and technology. Investors holding long-duration assets, including long-dated Treasuries and growth stocks, stand to benefit most if this trend holds.
Next CPI report: approximately mid-August. FOMC meeting: July 29-30. Fed Chair Powell congressional testimony: mid-July.
- USA: Inflation unexpectedly declines to 3.5 percent · Manager Magazin
- US inflation rate eases to 3.5% as gasoline prices fall · BBC Business
- US inflation fell more than expected to 3.5% in June as oil prices tumbled · Financial Times
- In the United States, inflation slows to 3.5% in June year-over-year thanks to falling gas prices · Le Figaro Economie
- US CPI Falls for the First Time Since 2020 · Bloomberg
- CPI beat expectations. IBM crashed 22%. Oil surged. The S&P is barely up · Quartz
- Bitcoin jumps on lowest US CPI since 2020 as traders stay wary of $64K resistance · Cointelegraph
- US CPI Falls for the First Time Since 2020, Core Gauge Flat · Bloomberg
- CPI for all items falls 0.4% in June; gasoline down · BLS CPI
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