U.S. inflation falls in May on dip in gasoline prices
U.S. inflation falls in May on dip in gasoline prices
15 June, 2017, 02:19
USA consumer prices fell 0.1% for May compared with consensus forecasts of prices being unchanged on the month while the year-on-year inflation rate declined to 1.9% from 2.2% previously and compared with an expected rate of 2.0%.
The Commerce Department said retail sales fell 0.3 per cent last month amid declining purchases of motor vehicles and discretionary spending after an unrevised 0.4 per cent increase in April.
Over the past 12 months, consumer prices are up 1.9 per cent while core inflation has risen 1.7 per cent. It forecast that prices will rise just 1.6 percent this year, down from a March forecast of 1.9 percent.
Food prices rose 0.2% on the month with a year-on-year increase of 0.9%.
While the US central bank is expected to raise interest rates by 25 basis points at the end of a two-day meeting later on Wednesday, weak inflation, if sustained, could put further monetary tightening this year in jeopardy. Owners' equivalent rent of primary residence advanced 0.2 per cent after a similar increase in April. On Wednesday, June 14, 2017, the Labor Department reports on USA consumer prices for May.
Retail sales rose 3.8 percent in May on a year-on-year basis. These included apparel, airline fares, medical care services and communication.
"With employment near its maximum sustainable level and the labor market continuing to strengthen, the committee still expects inflation to move up and stabilize around 2% over the next couple of years in line with our longer run objective", Fed Chairwoman Janet Yellen said Wednesday. "It won't stop the Fed from hiking interest rates later today, but it increases the downside risks to our forecast that there will be a further two rate hikes in the second half of this year", said Paul Ashworth, chief United States economist at Capital Economics in Toronto. Food prices rose for a fifth straight month. The Fed's preferred measure of inflation, tied to consumer spending, has been below 2 percent for five years and in recent months slipped back a bit.
Auto sales remained sluggish for the month, falling 0.2 percent in May, while electronics and appliance sales saw their largest monthly decrease in more than seven years, plunging 2.8 percent.
Department store sales tumbled 1.0 percent, the largest drop since July 2016.
The second drop in the CPI in three months followed a 0.2 percent rise in April.
Despite the weak report, analysts noted that April's sales numbers were revised significantly upward, especially in the "control" group of goods, which excludes gasoline, cars and building materials. The 2.7 percent fall in energy prices mainly drove the drop in consumer price index. That has led some retailers, including Macy's M.N , Sears SHLD.O and Abercrombie & Fitch ANF.N to announce shop closures.
CPI inflation in May is at the lower end of the RBI's projected headline inflation band of 2-3.5 per cent in the first half the current fiscal. Excluding automobiles, retail sales also contracted by 0.3% on a monthly basis.
The dilemma facing the Saudis is encapsulated by China , the world's largest crude oil importer and the Saudis biggest customer. Benchmark Brent crude settled 43 cents higher at $48.72 a barrel while USA light crude settled up 38 cents to $46.46 a barrel.
We're aiming to change that and of course, from my perspective, I'd want Puerto Rico to become the 51st state of the nation. But many question the validity of the vote amid a low turnout and a boycott by several opposition parties.
Marsh sold its pharmacy assets to CVS in April, and had agreed not to allow pharmacies in stores that had them for five years. A Kroger subsidiary made an offer on 11 Marsh stores, including this one in Indianapolis, at Monday's bankruptcy auction.
Hughes also says she sees more people come in to get tickets 30 minutes before the drawing than any other time. A massive $447.8 million jackpot is up for grabs for the lucky person who picked the winning numbers.
Having the extra port is vitally important when you're using an external device like a USB-C SSD and the charger simultaneously. The 12-inch MacBook is Apple's thinnest laptop , measuring 0.52 by 11.04 by 7.74 inches (HWD), and weighing 2.03 pounds.
Telecast live from the Florida Lottery Studios in Tallahassee , the Powerball drawing was for a whopping $380.6 million. You do not need to have the same order as the numbers on the ticket, though the Powerball number is not interchangeable.
Wawrinka's lone worrying moment resulted when he nearly turned an ankle near the net in the last game against Cilic. Friday's semi-final will be the fourth meeting between Nadal and Thiem this season, all of which have come on clay.
He insisted Qatar's position is not directly to support Hamas as such, but to support the Palestinian people in general. The new flights have increased Iranian air traffic by 17 per cent, the official state news agency has reported .
Rogers said he was not answering questions on the content of his conversations with Trump "because I feel it is inappropriate". King was in full fuss-fight mode and shot back, equally snarky: "Well, I do mean it in a contentious way".
Lynch, as the head of the Justice Department, clandestinely met with Bill Clinton in late June 2016 on an airport tarmac. Finding that out, as Comey noted, is now up to the special counsel, Robert Mueller.
Former NBA player Dennis Rodman arrives in North Korea
On his first trip to North Korea, Rodman was accompanied by members of the Harlem Globetrotters and a crew from VICE News. Rodman, who appeared on Trump's reality TV show in 2009 and again in 2013, went on to endorse Trump's candidacy in 2015 .
Bayern Munich Prepare Alexis Sanchez Bid, Latest Rumours
Manchester City have reportedly agreed a deal to sign Arsenal forward Alexis Sanchez during the summer transfer window. Arsenal are reluctant to do business with a Premier League rival, particularly when their best player is involved.
EU's Tusk warns Britain Brexit time tight, risk of no deal
The prospect of a hung Parliament would throw serious doubt over Brexit negotiations, due to begin in earnest in just 10 days. "We will have to see whether the negotiation chief will remain the same, how the relevant ministers will look".
Apple introduces "Do Not Disturb" feature for drivers
Others, however - Uber chief among them - still force iPhone users to choose between always or never providing location data. Other handy features include an automatic login to new devices simply by bringing it close to a Mac or other iOS 11 devices.
Astros score 5 in 9th to top Royals 6-1
McCullers was removed after seven innings, permitting one run and two hits, while striking out eight and walking two. But things changed as with the injuries to Charlie Morton and Joe Musgrove certainly tested the wits of our bullpen.