Although the rate of increase has lessened, housing costs continue to be the largest contributor to inflation.

After many substantial hikes, rent rose 0.5%. Rent rose 8.3% annually, down from 8.7% last month.

Based on new contracts, economists predict rent hikes to decrease, while current leases have yet to catch up.

During the same time period, the cost of apparel increased by 0.3%, the cost of vehicle repairs increased by 1.3%, and the cost of auto insurance jumped by 1.7%.

On the other hand, used automobile prices declined 0.5% following a brief uptick and are down 5.2% year.

After a one-third price increase due to the epidemic, prices fell. New automobile costs were constant after two months of decline.

Annually, airfares are down 18.9%, with a decline of 8.7% attributable to reduced aviation fuel prices.

Hotel rates fell 2%, erasing May’s surge. Recently decreasing appliance costs fell another 1%.

The Fed is particularly focused on reducing price increases for services, excluding housing, which are driven by wage gains and have remained persistently high even as price increases in other categories have moderated.

According to an analysis of Labor’s data by High Frequency Economics, this metric remained unchanged in June and increased 4.1% annually, down from 4.6% in May.