{"id":1961186,"date":"2023-06-30T08:39:02","date_gmt":"2023-06-30T12:39:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/inflation-declined-to-3-8-in-may-according-to-key-gauge-watched-by-fed\/"},"modified":"2023-06-30T08:39:49","modified_gmt":"2023-06-30T12:39:49","slug":"inflation-declined-to-3-8-in-may-according-to-key-gauge-watched-by-fed","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/inflation-declined-to-3-8-in-may-according-to-key-gauge-watched-by-fed\/","title":{"rendered":"May&#8217;s inflation rate dropped to 3.8%, as per Fed&#8217;s key gauge."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Finflation-declined-to-3-8-in-may-according-to-key-gauge-watched-by-fed%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1961186&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Inflation Falls to 3.8% Annual Rate in May<\/h2>\n<p>The latest data from the Bureau of Economic Analysis reveals that inflation, as measured by the gauge favored by the Federal Reserve, has fallen to a 3.8% annual rate in May. This decline indicates that inflationary pressures are easing amidst the Fed&#8217;s efforts to slow down economywide spending by <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-delivers-bad-news-about-expectations-for-inflation-raising-interest-rates-report\/\" title=\"Federal Reserve Delivers Bad News About Expectations For Inflation, Raising Interest Rates: Report\">raising interest rates<\/a>.<\/p>\n<p>However, it&#8217;s important to note that inflation is still higher than the central bank&#8217;s target, which is <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/inflation-plummets-to-2-7-in-march-in-producer-price-index\/\" title=\"Inflation plummets to 2.7% in March in producer price index\">impacting household purchasing power<\/a>.<\/p>\n<h3>Core PCE Inflation at 4.6% Year-Over-Year Rate<\/h3>\n<p>When looking at core PCE inflation, which excludes energy and food prices and is generally less volatile, the rate stands at 4.6% year-over-year. This measure suggests that prices are gradually returning to normal after last year&#8217;s significant inflationary surge.<\/p>\n<p>The consumer price index also reflects a decrease in inflation, with a 4% annual rate in May compared to 4.9% the previous month. This downward trend has been ongoing since last June, and the current CPI inflation rate is the lowest since March 2021.<\/p>\n<p>Furthermore, the producer price index, which tracks wholesale prices of goods, indicates a 1.1% annual rate of inflation in May. These prices eventually trickle down to consumers.<\/p>\n<h3>Economy Beats Expectations, But Unemployment Rate Rises<\/h3>\n<p>Despite inflation concerns, the economy continues to outperform expectations. In May, an additional 339,000 jobs were added. However, the unemployment rate did rise from 3.4% to 3.7%. Additionally, there was a deceleration in <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/u-s-job-openings-plunge-to-nine-month-low-as-labor-demand-eases\/\" title=\"U.S. Job Openings Plunge to Nine-Month Low as Labor Demand Eases\">average hourly earnings growth<\/a> for the month.<\/p>\n<p>Yesterday, the Bureau of Economic Analysis also revised its estimate for first-quarter GDP growth, increasing it to a 2% annual rate from the previously estimated 1.3%.<\/p>\n<p>The Federal Reserve&#8217;s target rate currently stands at 5% to 5.25%, the highest it has been since the financial crisis in 2008.<\/p>\n<p>For more information, <a href=\"link\">click here<\/a> to read more from The Washington Examiner.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In May, inflation dropped to 3.8% annually, according to the Federal Reserve&#8217;s preferred gauge. The Bureau of Economic Analysis reported a decline in the personal consumption expenditures price index, indicating that inflationary pressures are easing due to the Fed&#8217;s efforts to curb overall spending.<\/p>\n","protected":false},"author":1,"featured_media":1961187,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-1961186","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1961186","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1961186"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1961186\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1961187"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1961186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1961186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1961186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}