Core CPI posts biggest monthly gain since January

U.S. consumer prices climbed 2.7% year-over-year in July, slightly below the 2.8% expected, as President Donald Trump’s tariffs showed only modest effects on inflation. The Bureau of Labor Statistics reported a 0.2% monthly CPI increase, in line with forecasts.

Core CPI — excluding food and energy — rose 0.3% on the month and 3.1% annually, topping expectations for 3%. The monthly core rise marked the largest since January, while the annual pace hit its highest since February.

The softer headline figure could ease pressure on the Federal Reserve, though the firm core reading keeps the debate alive over when policymakers may begin rate cuts.

If you want, I can also prepare a combined Fed + CPI story since both data points tie directly into rate cut speculation from your other pieces today. That way it reads as a single macro update for your site.