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US: Inflation rises, but growth remains the only focus
There was a modest upside surprise to headline US consumer price inflation at 0.6% month-on-month for June and the core at 0.2% MoM (both 0.1 percentage point above consensus). The annual rates were broadly as expected at 0.6% year-on-year for headline and 1.2% YoY for core. This is the biggest MoM rise in headline inflation since 2012 with the main contributor being the 12.3% MoM increase in gasoline following huge plunges in recent months. Transportation costs rose 2.5% as more people started to take flights as states re-opened with accommodation away from home (hotels) also seeing a 1.2% gain for similar reasons. ... (full story)