Investing.com - Consumer price inflation in the U.S. rose more-than-expected in June, while prices excluding food and energy costs inched up modestly, official data showed on Tuesday.
In a report, the Bureau of Labor Statistics said that consumer prices rose by a seasonally adjusted 0.5% in June, compared to expectations for a 0.3% increase, after rising by 0.1% in May.
Year-over-year, consumer prices rose at an annualized rate of 1.8% last month, above expectations for a 1.7% gain and up from 1.4% in May.
Consumer prices, excluding food and energy costs, rose 0.2% in June, matching expectations. Core consumer prices inched up 0.2% in May.
Core CPI increased at annualized rate of 1.6% last month, in line with forecasts and slowing from 1.7% in May.
Core prices are viewed by the Federal Reserve as a better gauge of longer-term inflationary pressure because they exclude the volatile food and energy categories.
The central bank usually tries to aim for 2% core inflation or less.
Following the release of the data, the U.S. dollar held on to losses against the euro, with EUR/USD rising 0.35% to trade at 1.3108.
Meanwhile, U.S. stock future indices pointed to a flat open. The Dow Jones Industrial Average futures was little changed, S&P 500 futures pointed to a loss of 0.1%, while the Nasdaq 100 futures pointed to an increase of 0.1% at the open.
In a report, the Bureau of Labor Statistics said that consumer prices rose by a seasonally adjusted 0.5% in June, compared to expectations for a 0.3% increase, after rising by 0.1% in May.
Year-over-year, consumer prices rose at an annualized rate of 1.8% last month, above expectations for a 1.7% gain and up from 1.4% in May.
Consumer prices, excluding food and energy costs, rose 0.2% in June, matching expectations. Core consumer prices inched up 0.2% in May.
Core CPI increased at annualized rate of 1.6% last month, in line with forecasts and slowing from 1.7% in May.
Core prices are viewed by the Federal Reserve as a better gauge of longer-term inflationary pressure because they exclude the volatile food and energy categories.
The central bank usually tries to aim for 2% core inflation or less.
Following the release of the data, the U.S. dollar held on to losses against the euro, with EUR/USD rising 0.35% to trade at 1.3108.
Meanwhile, U.S. stock future indices pointed to a flat open. The Dow Jones Industrial Average futures was little changed, S&P 500 futures pointed to a loss of 0.1%, while the Nasdaq 100 futures pointed to an increase of 0.1% at the open.