WASHINGTON, D.C. — US consumer inflation eased slightly in July, according to government data published Wednesday (Thursday in Manila), its smallest 12-month increase since March 2021 and a positive sign for the Federal Reserve (Fed) as it weighs cutting interest rates.

The consumer price index (CPI) eased to 2.9 percent last month from a year ago, down slightly from 3.0 percent in June, the Labor Department said in a statement, while a measure that strips out volatile food and energy costs cooled to an annual rate of 3.2 percent.