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US inflation slows, but price pressures remain
US headline inflation rose 0.3% month-on-month, a touch below the 0.4% consensus, while core rose a very modest 0.1% (consensus 0.3%). The year-on-year rates slow to 5.3% from 5.4% for headline while core slowed to 4% from 4.3%. A more benign outcome than expected, but inflation pressures are not going to disappear anytime soon. On the upside, food prices rose 0.4%, energy was up 2% and owners' equivalent rent increased 0.3%. However, used car prices fell 1.5% while airline fares fell 9.1% and motor vehicle insurance fell 2.8% MoM. Car and truck rental plunged 8.5% and hotel charges were also down -3.3%. So ... (full story)