Inflation Edged Down to 3.4 Percent in July, With Gasoline Still High

Consumer prices were 3.4 percent higher in July than a year earlier, after a 3.5 percent rise in the year to June, the Bureau of Labor Statistics reported. Energy prices were up 14.7 percent over the year, led by gasoline at 24.6 percent, while food prices rose 3.0 percent. Excluding food and energy, prices rose 2.5 percent.

Fresh vegetable prices were up 6.3 percent over the year, and apparel 3.9 percent, while used cars and trucks were 1.9 percent cheaper and medical care commodities 2.7 percent cheaper than a year earlier. With wages up 3.2 percent over the year in July, according to the jobs report, average pay was still trailing overall price growth.