Inflation Slows Down to 3.4% as Energy Prices Ease

US inflation has slowed down for the second consecutive month, dropping to 3.4% in July, according to new data from the Bureau of Labor Statistics.

The Consumer Price Index (CPI) revealed a monthly increase of 0.1%, which is in line with economists' expectations.

The slowdown in inflation is attributed to easing energy prices and improved peace talks between Iran and other nations, which had caused a significant shock to the market earlier this year.

Gas prices plummeted by 2.9% in July compared to the previous month, contributing to the decrease in inflation.

This development may ease pressure on the Federal Reserve to raise interest rates, as Chairman Kevin Warsh has stated that the bank is committed to bringing down inflation below the 2% target.