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US Pump Prices Slumping Toward $4 a Gallon, Blunting Inflation

  • Costs have fallen with cheaper oil and relatively weak demand
  • High inflation has capped fuel use despite lower pump prices
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US Inflation Cools More Than Forecast as Gasoline Price Drops

Pump prices in the US are on the cusp of falling below $4 a gallon for the first time since early March, slowing inflation growth. 

Pulled lower by sinking oil prices and a slowdown in summertime demand, the average domestic retail price for regular gasoline hit $4.01 a gallon overnight after more than eight straight weeks of declines, according to data from auto club AAA. The advance in the consumer price index decelerated last month, cooling from a 9% rise in June when fuel prices hit multiple record highs.