US Inflation Drops to 3.7% in June as Energy Prices Fall
The Federal Reserve's preferred inflation measure, the Personal Consumption Expenditures (PCE) price index, fell 0.1% in June from the previous month, bringing the annual rate to 3.7%, according to the Bureau of Economic Analysis. The decline was driven by a temporary ceasefire in the conflict with Iran, which lowered energy prices. The report was released on Thursday.
Key facts
- PCE price index fell 0.1% in June month-over-month
- Annual inflation rate dropped to 3.7%
- Decline attributed to temporary truce in war with Iran
- Energy prices pulled lower due to ceasefire
- Data reported by Bureau of Economic Analysis on Thursday
- Federal Reserve's preferred inflation measure is PCE
Entities
Institutions
- Federal Reserve
- Bureau of Economic Analysis
Locations
- Iran
Sources
- Quartz —