Bloomberg Wealth: Inflation May Be Slowing But It Still Hurts

Inflation may have peaked, but high prices are still crushing many Americans.

In the middle of a baffling economic environment, there was one piece of semi-good news on Wednesday — consumer prices rose 8.5% in July from a year earlier, less than expected and down from the 9.1% year-over-year increase in June. The deceleration is largely thanks to a significant drop in gas prices, which are finally approaching $4 a gallon on average after rising above $5 in June.