U.S. headline CPI rose 0.1% in July for both the headline and core rates
U.S. headline CPI rose 0.1% in July for both the headline and core rates. There were no revisions to June, where the headline price reading was unchanged while the core edged up 0.1%. Compared to last July, headline prices picked up a bit to a 1.7% y/y pace versus 1.6% y/y, while the ex-food and energy component was flat at a 1.7% y/y clip. The guts of the report showed modest changes. Energy prices dipped 0.1% from the prior -1.6% reading, and is a third straight monthly drop. Transportation costs were also off 0.1% following June's 0.7% decline. Food/beverage prices crept up 0.2% from unchanged. Services costs were up 0.2% for a fourth consecutive month. Apparel prices rebounded 0.3% from -0.1%. Medical care increased 0.4%, as they did in June. Education dipped 0.1%, though personal computer prices climbed 1.1%. Commodities were flat from -0.3%. Tobacco prices dipped 0.1% from -0.4%. Real average weekly earnings slowed to a 1.1% y/y rate from a revised 1.2% y/y (was 1.1% y/y).