The U.S. Labor Department gave us the formal inflation reading for the month of July on Tuesday morning. The good news is that inflation concerns have abated. July’s Consumer Price Index (CPI) rose 0.1% on the headline report. It is down from the 0.3% reading from June. Bloomberg estimated it at 0.1%, with a range of 0.1% to 0.2%.
The core CPI rate without the more volatile food and energy components was up only 0.1%, versus the Bloomberg estimate of 0.2%. This is the same increase that we saw from June.
On a year-over-year basis, this puts the headline CPI up 2.0%. On an ex-food and energy basis, the core CPI rose by 1.9% from the prior year.
Food and shelter prices marked increased levels from the June numbers, but these were offset by a decrease in energy. The energy index had its first decline since March, and this was throughout all the major energy components — you have probably even noticed it at the gasoline pump.
Crude oil continues to come down and other commodity prices have not been rising handily. After having tracked higher prices, much of the inflationary concerns have dwindled.
For a takeaway, this was the slowest rise in CPI since February. The good news is that this reading allows for the Federal Reserve to be more flexible in maintaining its policies with the coming end of quantitative easing.
READ ALSO: 10 States Where Manufacturing Still Matters
Travel Cards Are Getting Too Good To Ignore (sponsored)
Credit card companies are pulling out all the stops, with the issuers are offering insane travel rewards and perks.
We’re talking huge sign-up bonuses, points on every purchase, and benefits like lounge access, travel credits, and free hotel nights. For travelers, these rewards can add up to thousands of dollars in flights, upgrades, and luxury experiences every year.
It’s like getting paid to travel — and it’s available to qualified borrowers who know where to look.
We’ve rounded up some of the best travel credit cards on the market. Click here to see the list. Don’t miss these offers — they won’t be this good forever.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.