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After years of struggling with the rising cost of living, Americans are finally getting some minor relief. U.S. inflation fell 0.1% month-over-month<\/a> in June, beating analysts\u2019 consensus forecast for an 0.1% rise, the Bureau of Labor Statistics reported<\/a> Thursday. On an annual basis, consumer prices also rose just 2.97%\u2014the smallest jump in over three years.<\/p>\n \u201cExpectations were that this was going to be a good report. But as you can see, it was better than expected,\u201d Bill Sterling, global strategist at GW&K Investment Management, told Fortune<\/em> of the consumer price index (CPI) data.<\/p>\n A 3.8% dip in gasoline prices was responsible for much of the drop in inflation during June, but\u00a0 core inflation, which excludes more volatile food and energy prices, also came in cooler than anticipated. Slowing shelter price increases led core inflation to rise just 0.06% month-over-month, and roughly 3.3% from a year ago\u2014another three-year low.<\/p>\n After years of the Federal Reserve fighting inflation with relatively high interest rates<\/a>, professional investors have long been predicting the central bank would win in its battle against rising prices, only to be disappointed time and again. But this time, many experts are convinced that the Fed has finally tamed inflation<\/a>, and interest rate cuts are on the way.<\/p>\n \u201cAll in all, it was a very encouraging report from the point of view of the Fed. And markets are pretty convinced now that this tees up a Fed rate cut in September,\u201d Sterling said.<\/p>\n\n