Eamonn Sheridan Expects U.S. June CPI to Fall 0.2% Month Over Month

Analyst Eamonn Sheridan expects the U.S. Consumer Price Index (CPI) for June to decline 0.2% month over month, which would be the first monthly drop since the pandemic. According to ChainCatcher, the forecast is driven mainly by a 15% fall in gasoline prices from mid-May to late June. Sheridan also expects the annual inflation rate to slow to 3.8% from 4.2% in May. Core CPI is projected to rise 0.2% month over month, while annual core inflation is expected to edge down to 2.8%. Service inflation is forecast at an annual rate of 3.4%, compared with 2.9% in January.