On the evening of June 11th, the Bureau of Labor Statistics of the United States released the CPI data for May. Despite Trump’s additional tariffs, as of May, their significant impact on inflation had not yet emerged, and the increase in consumer prices was lower than expected.

The consumer price Index (CPI), a broad indicator measuring the overall prices of goods and services in the United States, rose by 0.1% month-on-month in May, bringing the annualized inflation rate to 2.4%. Economists surveyed by Dow Jones previously expected the CPI to rise by 0.2% month-on-month and annualized, and 2.4% annualized.

Core CPI, excluding food and energy prices, rose by 0.1% month-on-month and 2.8% year-on-year, while market forecasts were 0.3% and 2.9% respectively. Fed officials generally believe that core CPI better reflects long-term trends. Recently, several officials have expressed concerns that tariffs may exacerbate inflation.