US Inflation Cooled in June, Fed May Lift Rates Later This Year

U.S. inflation eased in June, with prices dropping 0.4% from May, driven by decreases in the cost of gas, clothes, and used cars. Despite this cooling, underlying price pressures also moderated more than anticipated. The Federal Reserve may consider raising its key interest rate later in the year to curb spending and manage inflation, which could lead to higher borrowing costs for various loans.