The latest BEA data reflects that decline. In June, energy prices were up 43.4% from the year-ago period. Last month, that annual gain was 34.4%.
Despite that decline, prices remain high, said Scott Brave, consumer spending economist for Morning Consult.
“US consumers received a welcome reprieve from the sting of inflation in July, as gas prices dropped significantly,” he said in a statement. “But at over 6%, inflation still remains much too high to provide any lasting comfort.”
Stripping out the more volatile food and energy prices, the core PCE index rose by 4.6% from a year ago.
This story is developing and will be updated.