FX.co ★ US Inflation Rate Rises for 2nd Month, Core Below Forecasts

The United States saw its annual inflation rate climb to 2.7% in June 2025, marking the second consecutive month of increase and reaching its peak level since February. This rise, up from 2.4% in May, met the expectations of analysts. Notably, food prices showed a sharper increase, climbing to 3% compared to 2.9% in the previous month. Transportation services also saw a considerable rise (3.4% vs 2.8%), as did the prices for used cars and trucks (2.8% vs 1.8%). Energy costs experienced a more moderate decline of just -0.8%, in contrast to the -3.5% drop previously recorded. While gasoline prices decreased further (-8.3% vs -12%) and fuel oil saw a lesser decline than before (-4.7% vs -8.6%), natural gas prices continued their substantial ascent, remaining high at 14.2%. In contrast, inflation slightly eased for shelter (down to 3.8% from 3.9%) and new vehicles (0.2% down from 0.4%). Month-over-month, the Consumer Price Index (CPI) increased by 0.3%, representing the largest jump in five months, a rise from 0.1% in May, aligning with forecasts. The core inflation rate, excluding volatile items like food and energy, increased annually to 2.9% from 2.8%, though it remained below the predicted 3%. The monthly core CPI rose by a lower-than-expected 0.2%, as opposed to the anticipated 0.3%, following a 0.1% increase in May.