pahrump inflation

New data from the Bureau of Labor Statistics shows that consumer prices in the US are increasing at a slower pace. The Consumer Price Index, which measures price changes for goods and services, rose by 4% in the year ending in May. This is a decrease from April’s 4.9% and slightly below economists’ expectations.

Inflation has been slowing for 11 consecutive months. Prices ticked up by only 0.1% from April to May, lower than the predicted 0.2%. The drop in energy prices and slower food price hikes contributed to the decrease in overall prices.

When excluding volatile components like food and energy, core inflation measured 5.3% annually, slightly down from April. On a monthly basis, it increased by 0.4%, aligning with economists’ predictions.

Housing costs, a major contributor to inflation, are expected to decline in the coming months. Rent prices, for instance, have fallen recently, suggesting more affordable housing costs.

The release of this data coincides with a meeting of the Federal Reserve, where decisions on interest rates are made. It is anticipated that the Fed will pause its rate-hiking campaign due to the improving economy and these inflation trends.

Market traders are already factoring in a high probability of the Fed’s pause, at 94.2% according to CME FedWatch.

In summary, the latest data indicates a slower increase in prices in the US. This is good news for consumers. Inflation has been slowing, and the Federal Reserve is likely to hold off on further interest rate increases.