CNBC is reporting this morning that the monthly inflation decline for June is the largest we’ve seen since the early months of 2020 as the Wuhan virus was hitting.
Here’s the news:
Consumer prices posted their biggest decline in more than six years during June as a sharp swoon in energy prices provided at least temporary relief from this year’s inflation surge, the Bureau of Labor Statistics reported Tuesday.
The consumer price index, a broad measure of costs for goods and services across the U.S. economy, was lower than expected across the board. The CPI fell a seasonally adjusted 0.4% for the month, bringing the annual inflation rate down to 3.5%.
Economists surveyed by Dow Jones had been looking for a drop of 0.2% and an inflation rate of 3.8%, following the 4.2% reading in May. The monthly decline in headline inflation was the biggest since April 2020.
White House Deputy Press Secretary Kush Desai says:
“President Trump consistently said that, as traffic in the Strait of Hormuz normalizes, oil prices – and thus overall inflation – would plummet like a rock. The expectation-smashing June CPI report proves President Trump was right: driven by lower energy prices, inflation clocked its biggest drop since April 2020. The President’s broader economic agenda, moreover, continues to pay off with lower prescription drug, health care, car, and insurance costs along with higher real wages for everyday Americans.”