European Investor
10 Jun 2026, 15:46
**US Inflation Holds Firm as Core Price Pressures Ease in May**
US inflation data for May painted a mixed picture, showing that headline price pressures remain elevated while underlying inflation trends continued to moderate.
The Consumer Price Index (CPI) rose 0.5% month-over-month in May, matching expectations but slowing slightly from April’s 0.6% increase. On an annual basis, headline inflation held steady at 4.2%, in line with forecasts and unchanged from the previous month.
More encouragingly for policymakers, Core CPI—which excludes volatile food and energy prices—increased just 0.2% on a monthly basis, below the 0.3% consensus estimate and down from 0.4% in April. Annual core inflation remained at 2.9%, matching expectations and unchanged from the prior reading.
US inflation data for May painted a mixed picture, showing that headline price pressures remain elevated while underlying inflation trends continued to moderate.
The Consumer Price Index (CPI) rose 0.5% month-over-month in May, matching expectations but slowing slightly from April’s 0.6% increase. On an annual basis, headline inflation held steady at 4.2%, in line with forecasts and unchanged from the previous month.
More encouragingly for policymakers, Core CPI—which excludes volatile food and energy prices—increased just 0.2% on a monthly basis, below the 0.3% consensus estimate and down from 0.4% in April. Annual core inflation remained at 2.9%, matching expectations and unchanged from the prior reading.