Americans plagued by rising prices the past three years got the strongest sign yet on Thursday that inflation is finally cooling.
The Consumer Price Index (CPI), a broad measure of the price of everyday goods, including groceries, gasoline, and rent, fell 0.1% in June over the previous month. Consumer prices were just 3% higher compared to a year ago — cooler than May’s data and lower than economist estimates.
Here’s what the Bureau of Labor Statistics’ latest inflation numbers mean for your household:
Price increases slow on cell phones, TVs, used cars, and more
The sting of surging prices should feel like less of a bite on several common purchases. Of note:
The price of used cars, notoriously steep during the pandemic, slowed more than 10% compared to June 2023, and slid 1.5% from May.
Airfare prices cooled by 5.1% from last year and 5% monthly.
Cell phones were down more than 10% year over year. TVs: almost 6%. Smart home devices declined more than 4%, as did health insurance costs.
Auto insurance keeps surging while gas prices ease up
Car insurance costs haven’t been this bad in 47 years.
The price of auto insurance was up 19.5% since last June, a pain felt nationwide. The monthly index ticked up 0.9%, a reversal from May’s 0.3% decline.
Three consecutive years of underwriting losses mean insurers have paid out more in claims and expenses than they took in through the premiums we pay — leading to the steep hikes felt today.
Owning a car generally has become pricier. Motor…
