Inflation in the United States unexpectedly remained at 2.7% in July

Consumer prices in the United States rose by 2.7% year-on-year in July, maintaining the pace of June, the Ministry of Labor reported. Analysts' forecast suggested an acceleration of inflation to 2.8%.

A decrease in energy prices by 1.6% (including gasoline – by 9.5%) restrained overall growth. At the same time, food prices rose by 2.9%, transportation services – by 3.5%, housing – by 3.7%. Prices for new cars increased by 0.4%, for used cars – by 4.8%.

Compared to June, the CPI index increased by 0.2%, in line with forecasts. The Core CPI, which excludes food and energy products, increased by 0.3% over the month and 3.1% over the year, which was the highest annual pace in the last five months. Both indicators exceeded the June values (0.2% and 2.9%, respectively) and analysts' expectations.

The dynamics of inflation remains in the focus of the Fed, for which the target level is 2%. The next meeting of the regulator is scheduled for September 16-17.