Inflation's Tepid Tumble: What Comes Next? The US inflation rate declined slightly to 3. 4% in July, but prices remain elevated above pre war levels.
A closer look at the data reveals that core inflation, which excludes volatile energy and food prices, increased to 2. 5% compared to last year. Core inflation has been stuck in neutral since May's high of 4.
2%, with the overall index for food and services continuing to rise at an alarming rate. Grocery prices fell only marginally, while gasoline remains about 15% higher than it was a year ago.