U.S. consumer prices rebounded in July as expected, but the trend remained in line with easing inflation and did not change expectations for the Federal Reserve to cut interest rates next month.
The Labor Department’s Bureau of Labor Statistics said Wednesday that the consumer price index rose 0.2% last month after falling 0.1% in June. In the 12 months through the end of July, the CPI rose 2.9% after rising 3.0% in June.
Economists polled by Reuters had forecast the index rising 0.2% on a monthly basis and 3% on a yearly basis. The government reported a slight increase in producer prices in July on Tuesday.
