Bank of America Securities Sees U.S. June CPI Falling 0.09% as Gasoline Prices Drop

U.S. headline CPI in June may have fallen 0.09% month over month, partly due to a sharp decline in gasoline prices, Bank of America Securities analysts said in a report. According to Jin10, the analysts added that core inflation was expected to remain elevated at 0.28% month over month or 2.9% year over year, partly because World Cup-related demand was pushing up services inflation. Based on this forecast, they said they expected core PCE to again come in slightly stronger than CPI.