U.S. CPI eases to 3.4% while wages stall, tightening budgets

U.S. CPI eases to 3.4% while wages stall, tightening budgets

Business

The U. S. Labor Department reported that July consumer price inflation fell to 3. 4% year-over-year while wage growth slipped to a five-year low of 3. 2%, leaving real purchasing power unchanged and prompting households to rely more on savings and credit. Earlier releases showed that the producer price index was flat on a monthly basis and its annual rise slowed to 4.

7% from 5. 5% in June, with core wholesale inflation falling to 4. 2%. Lower gasoline and food prices also helped ease overall inflation, although core consumer inflation stayed at 2. 5% and price growth remained above the Federal Reserve’s target.

Actors

U.S. Labor Department Energy Information Administration Stephen Juneau (Bank of America Securities) Tani Fukui (MetLife Investment Management) Federal Reserve

Locations

Washington, D.C., United States

Articles

August 13, 2026
4 total
US inflation eases slightly as wages lag, tightening household budgets
US inflation eases slightly as wages lag, tightening household budgets

ABC News - Breaking News, Latest News and Videos • 13 Aug 20:27

July consumer price inflation fell to 3.4% year-over-year, but wage growth slipped to a five-year low of 3.2%, leaving real purchasing power unchanged and prompting higher reliance on savings and credit.

Credibility 72% Manip. 9% Center
U.S. wholesale inflation eases in July as gas and food price pressures subside
U.S. wholesale inflation eases in July as gas and food price pressures subside

AP News • 13 Aug 14:19

The Labor Department reported that the producer price index rose 4.7% year-over-year in July, down from 5.5% in June, with core wholesale inflation falling to 4.2% and overall monthly prices unchanged.

Credibility 78% Manip. 10% Center
Wholesale inflation eases in July, hinting at slower consumer price growth
Wholesale inflation eases in July, hinting at slower consumer price growth

huffpost.com • 13 Aug 13:06

The Labor Department reported a drop in the producer price index for July, suggesting that consumer inflation may moderate in the coming months.

Credibility 78% Manip. 12% Center
U.S. wholesale prices unchanged in July, missing modest growth forecast
U.S. wholesale prices unchanged in July, missing modest growth forecast

CNBC • 13 Aug 12:33

The producer price index held steady in July, falling short of the expected 0.2% rise, while core measures showed modest gains.

Credibility 78% Manip. 8% Center
August 12, 2026
4 total
US July CPI shows modest cooling but remains elevated
US July CPI shows modest cooling but remains elevated

Fox Business • 12 Aug 14:53

The Bureau of Labor Statistics reported that the consumer price index rose 0.1% in July and 3.4% year-over-year, indicating a slight slowdown in inflation while price growth stays above the Federal Reserve's target.

Credibility 77% Manip. 7% Center
U.S. inflation eases to 3.4% in July as gasoline and food prices dip
U.S. inflation eases to 3.4% in July as gasoline and food prices dip

CNN • 12 Aug 12:35

The Consumer Price Index showed annual inflation at 3.4% in July, helped by lower gasoline and grocery prices, while core inflation held at 2.5% and the labor market remained tight.

Credibility 72% Manip. 12% Center
U.S. Consumer Prices Expected to Edge Higher in July as Gasoline Prices Fall
U.S. Consumer Prices Expected to Edge Higher in July as Gasoline Prices Fall

Yahoo Finance • 12 Aug 04:02

Economists forecast a modest 0.1% rise in July's CPI, driven by lower gasoline costs, while core inflation is projected to stay above the Federal Reserve's 2% target.

Credibility 78% Manip. 10% Center
U.S. inflation data due Wednesday could shape Fed policy and political debate
U.S. inflation data due Wednesday could shape Fed policy and political debate

AP News • 12 Aug 04:01

Economists expect July consumer prices to rise 3.4% year-over-year, a slight decline from June, as the Federal Reserve and lawmakers watch for signs of cooling inflation.

Credibility 73% Manip. 9% Center

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