According to the US Department of Labor, the consumer price index (CPI) in May 2023 increased by 4% year-on-year. Thus, inflation slowed down compared to April, when it was 4.9%, and reached the lowest level since March 2021. Analysts had expected inflation at 4.1%. In May, energy prices fell by 11.7% after a 5.1% decline in April, while food prices rose by 6.7% after a 7.7% increase in the previous month. Compared with the April figure of 0.4%, the CPI in May increased by 0.1%. The consensus forecast of analysts assumed an increase of 0.2%. Meanwhile, the consumer price index excluding the cost of food and energy (Core CPI index, core inflation) slowed to 5.3% year-on-year, reaching the lowest level in 1.5 years, after an increase of 5.5% in April. On a monthly basis, this indicator is expected to have increased by 0.4% after a similar increase in the previous month. It is worth noting that the US Federal Reserve System carefully monitors data on the growth rates of consumer prices in the country, which are an important factor in making decisions regarding monetary policy. The inflation target set by the Central Bank is 2%. The next meeting of the Federal Reserve System is scheduled for June 13-14.
