Interpretation of US May inflation data: Core goods weaken, overall CPI rises to a three-year high

"Fed Whisperer" Nick Timiraos wrote in May that consumer price index data showed a month-on-month decline of 0.11% in core goods prices; housing prices rose by 0.32% on a monthly basis, while non-energy service prices excluding housing rose by 0.27%. Looking at year-on-year data, core goods inflation has fallen from its recent peak of 1.5% last September to 1.1% currently. Overall CPI rose by 0.47% on a monthly basis, equating to an annualized increase of 5.8%, with a year-on-year increase of 4.2%, reaching a three-year high. The three-month annualized CPI rose to 8.2%.