US July CPI Growth Slows, Meeting Market Expectations

Data released by the US Department of Labor on August 14, 2026, indicated a moderation in inflation, with the year-on-year growth rate of the non-seasonally adjusted Consumer Price Index (CPI) slowing to 3.4% in July, and core CPI growth slowing to 2.5%. On a month-on-month basis, the seasonally adjusted CPI rose by 0.1% and core CPI by 0.2%, both figures meeting market expectations. This moderation has tempered market expectations for a Federal Reserve rate hike in September.