U.S. Inflation Cools For Second Straight Month In May

US consumer prices rose 3.3% over the year through May, marking a slight but significant cooling in inflation, the New York Times reported.

The consistent cooling of inflation could move the Federal Reserve closer to reducing its benchmark interest rate from its current 23-year peak.

This trend, welcomed by the Federal Reserve, suggests that inflationary pressures are easing, potentially influencing future interest rate decisions.

The Associated Press (AP) highlighted that this is the second consecutive month of easing inflation, indicating that the price spikes seen earlier this year may have subsided.

The "core" index, which excludes volatile food and energy costs, saw a 0.2% increase from April to May, down from 0.3% the previous month and the smallest rise since October.

Year-over-year, core prices rose by 3.4%, a decrease from the previous month's 3.6% increase, as reported by AP and Reuters. This consistent cooling of inflation could move the Federal Reserve closer to reducing its benchmark interest rate from its current 23-year peak.