US inflation slowed to 3.3%The annual inflation rate in the US slowed to 3.3% in May 2024, down from 3.4% in April and forecasts of 3.4%. The consumer price index was unchanged from the previous month, which was also below expectations for a 0.1% increase, as lower gasoline prices were offset by higher housing costs. Meanwhile, core inflation slowed to an annualized rate of 3.4%, below the consensus forecast of 3.5%, and the monthly core inflation rate eased to 0.2% from 0.3%, also better than forecasts of 0.3%.
Annual core inflation in the U.S. is below forecastsThe annual core US consumer price inflation rate, which excludes volatile items such as food and energy, fell to 3.4% in May 2024 from 3.6% in the previous month and was below market forecasts of 3.5%. Over the past year, the housing index has risen 5.4%, accounting for more than two-thirds of the total 12-month increase in the all-commodities index minus food and energy. Other indexes with notable increases over the past year include auto insurance (+20.3%), health care (+3.1%), recreation (+1.3%), and personal care (+2.9%).
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