Inflation in the US fell to 2.9% in July, strengthening the arguments for the Federal Reserve to cut interest rates at its next meeting in September, reports the Financial Times, writes UNN.
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The annual growth of the US consumer price index was just 0.1 p.p. lower than the June figure and undermined economists' expectations that this indicator would remain stable at 3%.
This also marked the first time the core consumer price index has fallen below 3% since March 2021.
The core consumer price index, which excludes volatile food and energy prices, rose 3.2% compared to 3.3% in June, according to data published by the US Bureau of Labor Statistics on Wednesday.
The latest data, as indicated, instill hope that the Fed is successfully suppressing price pressures and will be welcomed at the White House. US voter concerns about inflation have been an obstacle for Democrats in this year's presidential election campaign.
Financial markets regain calm, after Aug. 5 slump - media06.08.24, 13:02