The CPI report for May was definitely good news. In April, core CPI was +0.29% and Median CPI was +0.35%; this month those figures were +0.16% for core and +0.25% (est) for median. That would be the best median CPI print since last summer and this was the best m/m core CPI print since 2021. Core goods decelerated to -1.7% from -1.3%, y/y. I have long admonished that we are running out of room for deceleration in inflation to be driven by core goods as it’s hard to imagine goods deflation of a couple percent continuing for very long. Yet, so far, that is what we have gotten! Core services, meanwhile, was steady at ... (full story)