May oil prices are dipping, impacting the CPI monthly rate which has somewhat retreated
Core CPI monthly rate is below expectations

◆ Overall CPI yearly rate meets expectations (4.2%).

◆ Overall CPI monthly rate aligns with expectations (0.5%), slightly down from last month (0.6%).

◆ Core CPI yearly rate meets expectations (2.9%).

◆ Core CPI monthly rate (0.2%) is below expectations (0.3%), but lower than last month (0.4%).

Overall, it reflects a drop in oil prices, but they’re still at elevated levels.

If the data holds true, it's not bad news overall.

Next up, we’ll be watching the interest rate meeting on the 18th, the first FOMC meeting chaired by Waller, along with the dot plot.

My personal take is that there won't be a rate hike or cut, but the dot plot is likely to lean hawkish.