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US inflation numbers boost chances of a pause in Fed rate hikes
US consumer price inflation for May is broadly in line with expectations. The headline rate rose 0.1%MoM or 4.0%YoY (consensus 0.1 and 4.1, respectively), down from 4.9% and the slowest rate of headline inflation since March 2021. Meanwhile, core CPI (excluding food & energy) rose 0.4%MoM / 5.3% (consensus 0.4% / 5.2%). This is down from 5.5% and is the slowest annual rate for core inflation since November 2021. The main downside pressures came from gasoline prices falling 5.6%MoM while airline fares fell 3%, with education falling 0.2%. The main upside pressures came from two of the biggest components. Shelter (43% ... (full story)