US inflation cooled slightly to 3.4% in July but prices still elevated

Energy is cheaper than at its peak in late April, but gas is still nearly $1 a gallon more expensive than before the Iran war

US consumer prices cooled slightly in July as the annualized inflation rate dipped down to 3.4%, though prices still remain higher than levels seen before the war with Iran.

Though inflation decreased 0.7% in June during a brief ceasefire between the US and Iran that brought energy prices down, consumer prices have remained elevated. Price increases hit a three-year high in May, with annual inflation reaching 4.2%.