US CPI for May matches forecasts, but softer core inflation at 2.9% cools market fears, keeping Bitcoin near $60,000.

Headline CPI inflation is expected to top 4%.

Core inflation, which excludes the food and energy components hard-hit by the latest oil shock, rose moderately in May, but was unable to completely escape the effects of the ongoing conflict. Core CPI inflation measured 0.

Headline inflation breaching the 4% mark for the first time since 2023 will rightfully get a lot of attention, but investors will pay more heed to another measure of price increases. That's the so-called core rate that omits food and energy.

Inflation accelerated to a three-year high last month, but core prices rose less than expected, an encouraging sign for investors worried that resurgent inflation could force the Federal Reserve to raise interest rates this year.

The latest consumer price index report showed inflation hit a 3-year high in May. But there are also signs in it that inflation is still contained. Core inflation — which excludes the prices of food and energy,

Consumers and U.S. workers are feeling the pinch of a wage growth rate that lags behind the rate of inflation.

While headline inflation is high, core inflation showed some signs of easing in the May Consumer Price Index report.