U.S. Core CPI May Rebounds Mildly in July, Yet No Change to Easing Inflation and Rate-Cut Trend

Economists who produce detailed inflation forecasts expect the July CPI to have been relatively mild (after a lower-than-expected reading for June).

The median of these forecasts has the July core CPI up 0.19%, which would lower the 12-month rate to 3.2%

The July CPI report is going to be bringing more evidence that the disinflation process continues and remains on track. With that kind of outcome, the report will reinforce the case for a fed rate cut at the September meeting.