U.S. Labor Department data on the 14th showed June CPI rose 3.5% YoY, down from
4.2% in May but still well above the Fed’s 2% target. The Labor Department said
energy price declines were the main driver of the slowdown, offsetting price
gains in housing and food. Navy Federal Credit Union chief economist Heather
Long said inflation eased in June but the moderation may be short-lived as
renewed U.S.-Iran military tensions could reaccelerate inflationary pressure.
