Inflation eases in July as gasoline and grocery prices fall

Consumer prices in July were up 3.4% from a year ago — a smaller annual increase than in May or June. The news makes it less likely the Fed will feel the need to raise interest rates in September.

<img src='https://npr.brightspotcdn.com/dims3/default/strip/false/crop/3996x2545+0+0/resize/3996x2545!/?url=http%3A%2F%2Fnpr-brightspot.s3.amazonaws.com%2Ffe%2F55%2F6470cfc54018b8fa423a96f556f8%2Fgettyimages-2286439837.jpg' alt='Falling grocery prices helped to keep inflation in check last month. Lettuce prices dropped sharply in July after an outbreak of food-borne illness prompted a recall of some leafy greens.'/><p>Consumer prices in July were up 3.4% from a year ago — a smaller annual increase than in May or June. The news makes it less likely the Fed will feel the need to raise interest rates in September. </p><p>(Image credit: Justin Sullivan)</p><img src='https://media.npr.org/include/images/tracking/npr-rss-pixel.png?story=nx-s1-5929122' />