Day: 15 July 2026

U.S. June’s 2026 U.S. inflation report showed an unexpected cooling, with headline CPI dropping 0.4% month‑on‑month and annual inflation easing to 3.5%, driven almost entirely by a steep fall in energy prices.

Core inflation was flat, bringing the yearly core rate down to 2.6%.

Why this report mattered

This was the final major inflation release before the Fed’s late‑July meeting. Markets had expected a softer print, but the scale of the energy‑driven decline surprised forecasters.

The underlying trend (flat core inflation) suggests cooling, but geopolitical risks mean July’s 2026inflation could rebound.