U.S. inflation meets expectations, reinforcing Fed's higher-for-longer stance
Key takeaways
- The Consumer Price Index year over year rose 4.2% in May, according to a report from the Bureau of Labor Statistics.
- On a month-over-month basis, CPI rose 0.5%, against expectations of 0.5% and against April's 0.6% rise.
- While bitcoin saw a slight uptick after the data was published, it still remains under pressure.
Published Jun 10, 2026, 12:42 p.m. 1 min read Make preferred on What to know: May CPI rose 0.5% for the month of May and 4.2% year-over-year, both in line with forecasts.The core rate, though, rose just 0.2% in May against forecasts for 0.3%.Bitcoin was trading around $61,400 after the report. U.S. inflation data came in as expected on Wednesday, reinforcing the view that the Federal Reserve will keep interest rates at 350-375 bps at its June 17 meeting but is likely to increase rates by 25 bps by the end of the year.
The Consumer Price Index year over year rose 4.2% in May, according to a report from the Bureau of Labor Statistics. Economists had been expecting a rise of 4.2% following the April 3.8% increase.
On a month-over-month basis, CPI rose 0.5%, against expectations of 0.5% and against April's 0.6% rise. Core CPI, which excludes food and energy costs, rose 0.2% in May versus forecasts of 0.3% and April 0.4%. Year-over-year core CPI was higher by 2.9% versus forecasts of 2.9% and April's 2.8%.