U.S. Consumer Prices Unchanged in July as Fuel Costs Ease

  • Falling hotel rates, airline fares offset rent increases
  • Costs for medical care showed biggest increase since February
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The U.S. cost of living was little changed in July, a sign subdued inflationary pressures will give Federal Reserve policy makers reason to keep interest rates low.

It was the first time in five months the consumer-price index failed to advance and followed a 0.2 percent gain in June, Labor Department figures showed Tuesday in Washington. Excluding food and energy, prices rose 0.1 percent, less than projected.