US inflation cools again, potentially paving way for Fed to cut interest rates soon

AP Economics Writer

WASHINGTON (AP) — Inflation in the United States cooled in June for a third straight month, a sign that the worst price spike in four decades is steadily fading and may soon usher in interest rate cuts by the Federal Reserve. In a better-than-expected report, consumer prices declined 0.1% from May to June after having remained flat the previous month, the government said Thursday. Measured from 12 months earlier, prices were up 3% in June, down from 3.3% in May. The latest inflation readings could help convince the Fed’s policymakers that inflation is returning to its 2% target.