Inflation rose by an annual rate of 3.2% in July, reflecting the first increase after 12 consecutive months of cooling prices.
The Consumer Price Index, which tracks a basket of goods and services typically purchased by consumers, grew 0.2%, the same as it did in June, the Labor Department The so-called core CPI, which excludes volatile fuel and food costs, rose 4.7% from a year ago.
The uptick, the first increase in the pace of growth since June 2022, is due partly to higher housing and food costs. Even so, economists said underlying pressures are easing and the economy is showing signs that price increases will continue to cool.03:34The cost of shelter surged, accounting for 90% of the total increase after rising 7.7% on an annual basis. The recreation, new vehicles and household furnishings and operations indexes also rose.
"It's nothing that will derail this past year of steadily declining prices," Moya told CBS MoneyWatch prior to the inflation report's release."There is a lot of optimism that we're going to see that disinflation process remain intact."Meanwhile, some types of services and products saw price declines, including airline fares, which fell 8.1% on a monthly basis. That represents the fourth straight month of declines for airfares.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Inflation rose 3.2% in July as prices tick higher for first time in a yearThe Labor Department said the consumer price index showed that inflation ticked higher in July as price pressures in the economy remained abnormally high.
Read more »
Inflation ticked up in July, reversing some progress in fight to slow price hikesNEW: Consumer prices rose 3.2% last month compared to a year ago, marking an uptick that reverses some of the progress achieved in the monthslong fight to bring inflation down to normal levels.
Read more »
Inflation rises to 0.8% in July in producer price indexInflation, as measured by the producer price index, ticked up to 0.8% for the year ending in July, a month after nearly flatlining.
Read more »
CPI Report Shows Annual Inflation of 3.2% in JulyBreaking: Inflation ticked up last month to 3.2%. But steady monthly readings on underlying price pressures could deter the Federal Reserve from raising rates.
Read more »
Inflation ticked up to 3.2% in July in setback for Biden and FedBREAKING: Inflation rose slightly to a 3.2% rate for the year ending in July, the first increase after a full year of declines, the Bureau of Labor Statistics reported on Thursday in an update to the consumer price index.
Read more »
CPI report for July: Dow rallies over 300 points as investors cheer key inflation dataFollow MarketWatch's live coverage of the inflation report --- and the market reaction.
Read more »