US Inflation Eases to 3.5% Amid Falling Gas Prices
The US Consumer Price Index (CPI) inflation decreased to 3.5% in June from 4.2% in May, primarily due to a 5.7% drop in energy prices. Core inflation remained steady at 2.6%, alleviating some pressure on the Federal Reserve regarding interest rate hikes. Despite this decline, global crude oil prices have recently surged, with Brent crude at $86 and West Texas Intermediate at $80, driven by renewed US-Iran hostilities. The US plans to reinstate a naval blockade on Iran, which may further impact oil supply and prices. Elevated energy costs have been a significant factor in inflation this year, posing a political challenge for President Trump ahead of the mid-term elections.
Published 1 day ago • 14 Jul 2026, 07:34 PM IST