US CPI undershoots forecasts in May

(Sharecast News) - The cost of living in the States was unchanged last month, in part due to a steep drop in energy prices. According to the Department of Labor, in seasonally adjusted terms headline consumer prices were flat in May.

Economists had pencilled in an increase of 0.1%.

In annual terms meanwhile, the rate of increase in headline CPI ticked lower by a tenth of a percentage point to 3.3%.

Core CPI, which excludes the often volatile energy and food categories, also undershot forecasts, registering an advance of 0.2%.

That consensus forecast had been for a gain of 0.3%.

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