US INFLATION EASES TO 3.5% AS PETROL PRICES FALL

The rate of inflation in the United States declined to 3.5% in the year to June, according to official figures from the Bureau of Labour Statistics. This represents a decrease from 4.2% recorded in May. The easing of price rises was driven partly by a 9.7% fall in petrol prices during the month, the figures show.

Despite the monthly decline, petrol remains significantly more expensive than twelve months earlier. The national average price reached $3.86 per gallon on Tuesday, up from $3.79 a week prior, according to motorist advocacy group AAA. The recent moderation in inflation may prove temporary, as renewed military tensions in the Middle East have begun pushing global oil prices upward once more.

The price of Brent crude oil, the global benchmark, rose to $87 per barrel on Tuesday—an increase of nearly $10 within 24 hours. This spike followed fresh military strikes on Iran conducted by the United States this week. President Donald Trump announced a new naval blockade in the Strait of Hormuz and imposed a 20% charge on all cargo shipped through the strategic waterway, which handles substantial volumes of global trade.