June CPI was surprisingly benign but one month is no month: Chicago Fed's Goolsbee

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June CPI data was surprisingly benign, but one month is no month, according to Chicago Federal Reserve Bank President Austan Goolsbee. The U.S. Consumer Price Index rose 3.5% Y/Y in June, less than the +3.8% consensus and slowing from the +4.2% pace in May.

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June's CPI was lower than expected, but Chicago Fed President Austan Goolsbee said, this is just for a month. The US Consumer Price Index was 3.5% higher than a year ago, but missed the 3.8% average forecast and declined from 5.2% in May.

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The recent decline in inflationary pressure may lead to a decrease in the likelihood of future interest rate hikes, positively affecting the financial sector. Furthermore, the improvement in corporate profitability may boost the stock market.

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