BlockBeats News, July 14th, the United States saw its first decline in consumer prices in six years in June, with a key inflation gauge holding steady, easing some of the pressure on the Fed to raise interest rates.

According to data released by the U.S. Bureau of Labor Statistics on Tuesday, the Consumer Price Index (CPI) fell by 0.4% from May, but rose by 3.5% from a year earlier. The core index, which excludes food and energy, remained unchanged from May, with a year-on-year increase of 2.6%.

The report indicated that as the energy price shock triggered by the Iran conflict began to fade, the drop in gasoline prices in June provided some relief to consumers. Fed officials may welcome this data ahead of their meeting at the end of the month; however, the resurgence of U.S.-Iran tensions leading to another uptick in oil prices could prolong the inflationary impact of the conflict.

With investors scaling back bets on a July rate hike by the Fed, U.S. stock index futures rose and bond yields fell. Data showed that core inflation was subdued, mainly driven by lower prices for apparel and used cars. Motor vehicle insurance costs also saw a sharp decline.