Data from the U.S. Bureau of Labor Statistics shows that housing costs remained the main contributor to inflation in July, but the increase was moderate. The residential rent index rose 0.3% month-over-month, and the Owner's Equivalent Rent (OER) also rose 0.3% month-over-month, both unchanged from the previous month, and rose 2.9% and 3.2% year-over-year, respectively. However, the overnight accommodation index for hotels and other similar establishments fell sharply by 2.8% month-over-month (previous value -2.3%), but rose 2.6% year-over-year, the largest drop among housing sub-categories. Water and garbage collection fees rose 0.4% month-over-month and 4.6% year-over-year. Overall, the housing index rose 0.1% month-over-month, contributing two-thirds of the overall monthly CPI increase, and rose 3.2% year-over-year.
