US Price Rises Slow Again in July, Easing Toward Normal Levels

US inflation — the rate at which prices rise across the economy — cooled to 3.4% in the year to July 2026, down from 3.5% in June, the Bureau of Labor Statistics reported. It is the second straight drop after a 4.2% jump in May. Cheaper energy offset rising housing costs. The Federal Reserve aims for 2%, and the gap is narrowing, though shelter remains the main pressure point.