July US Monthly Consumer Price Growth Expected to Slow, Annual Rate to Accelerate

BY MT Newswires | ECONOMIC | 08/11/25 02:42 PM EDT

02:42 PM EDT, 08/11/2025 (MT Newswires) -- The US Consumer Price Index is expected to rise by 0.2% in July after a 0.3% gain in June, according to a survey compiled by Bloomberg, but the year-over-year rate is forecast to accelerate to 2.8% from 2.7%

The CPI data are scheduled to be released at 8:30 am ET Tuesday.

Energy prices are expected to decline after a 0.9% gain in June while food prices are expected to post a more modest increase after a 0.3% gain in the previous month.

The same survey looks for a 0.3% gain in core CPI, excluding the volatile food and energy components, after a 0.2% gain. The year-over-year rate is expected to accelerate to 3% from 2.9%.

Prices in the owners' equivalent rents and regular rents categories are forecast to add further to CPI. Those two categories combine for nearly one-third of overall CPI and are a key focus for the Federal Reserve.

New vehicle prices are expected to rebound after a 0.3% decline in the previous month, while used vehicle sales are expected to recover after falling by 0.7%.

The Federal Reserve's preferred inflation measures, the overall and core PCE price readings, are due to be released on Aug. 29. The CPI data are used by many analysts as a precursor to that report.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

fir_news_article