Jakarta, CNBC Indonesia – US inflation eased to 4.0% (year on year/yoy) in May 2023, from 4.9% (yoy) in April. This inflation is the lowest since March 2021 or more than the last two years.
May inflation was also lower than market expectations (4.1%).
On a monthly basis (month to month/mtm), US inflation also weakened to 0.1% in May this year, from 0.4% in April.
Meanwhile, core inflation – excluding the volatile category – was recorded at 5.3% (yoy), which is the lowest record since November 2021.
US inflation eased helped by falling energy and food prices. Food commodity prices have fallen back to levels before Russia’s attack on Ukraine in February 2022.
Meanwhile, energy commodity prices corrected 11.7% (yoy) in May, much deeper than the 5.1% correction in April.
Foodstuff inflation eased to 6.7% (yoy) in May, compared to 7.7% (yoy) in the previous month. However, increases still occurred in several commodities such as apparelhousing, and transportation services.
The report was published as Fed officials prepare for a two-day meeting to discuss policies.
With the economy showing signs of slowing, economists argue that the Fed should halt further rate hikes while assessing the impact of the steps it has taken so far.
(hsy/hsy)
2023-06-13 14:15:12
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