The spike in gasoline prices motivated Americans to go on buyers’ strike. The phenomenon of a price shock reducing demand for that product is called “demand destruction” in economics. It can reverse when the price falls to such a low level that demand returns. Demand destruction has now turned into a crescendo during peak driving season, including the 4th of July holiday weekend.
In the week through July 8, gasoline consumption plunged by 9.7% to 8.73 million barrels per day, on a four-week moving average, according to EIA data. The EIA measures gasoline consumption in terms of barrels supplied to the market by refiners, blenders, etc., and not by retail sales at gas stations. This was the steepest decline yet so far this year.

https://wolfstreet.com/2022/07/14/large ... 999-level/
 

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The rise in the price of gasoline has resulted in less purchasing of gasoline at the pump. This has resulted in a decrease in price. The decrease in the price of energy reduced the reported inflation rate from 9.1 % to 8.5% for the month of July. All other indicators of are the same as July - in other words official 8.5% inflation.

From US Bureau of Labor Statistics:

 

CONSUMER PRICE INDEX - JULY 2022

The Consumer Price Index for All Urban Consumers (CPI-U) was unchanged in July on a seasonally
adjusted basis after rising 1.3 percent in June, the U.S. Bureau of Labor Statistics reported today.
Over the last 12 months, the all items index increased 8.5 percent before seasonal adjustment.

The gasoline index fell 7.7 percent in July and offset increases in the food and shelter indexes,
resulting in the all items index being unchanged over the month. The energy index fell 4.6 percent
over the month as the indexes for gasoline and natural gas declined, but the index for electricity
increased. The food index continued to rise, increasing 1.1 percent over the month as the food at
home index rose 1.3 percent.

The index for all items less food and energy rose 0.3 percent in July, a smaller increase than in
April, May, or June. The indexes for shelter, medical care, motor vehicle insurance, household
furnishings and operations, new vehicles, and recreation were among those that increased over the
month. There were some indexes that declined in July, including those for airline fares, used cars
and trucks, communication, and apparel.

The all items index increased 8.5 percent for the 12 months ending July, a smaller figure than the
9.1-percent increase for the period ending June. The all items less food and energy index rose 5.9
percent over the last 12 months. The energy index increased 32.9 percent for the 12 months ending
July, a smaller increase than the 41.6-percent increase for the period ending June. The food index
increased 10.9 percent over the last year, the largest 12-month increase since the period ending
May 1979.

 

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Meanwhile, far from fabulist kleptomaniac politican’s lies of “zero inflation in July” actual inflation continues unabated. 

From Shadow Goverment website:

SHADOWSTATS DAILY UPDATE – August 10th to 11th [Posted August 10th, 1:45 p.m. ET] – Today’s July 2022 CPI-U Inflation was unchanged month-to-month, softer year-to-year, constrained by declining gasoline prices, but otherwise still at broad levels last seen 75-years ago (ShadowStats) and 41-years ago (Bureau of Labor Statistics) highs; Recently covered July 2022 Payroll Employment purportedly regained its Pre-Pandemic Peak by a minimal (albeit not statistically significant) 0.02% or 32,000 jobs; Real Second-Quarter 2022 GDP showed a second consecutive quarterly contraction, consistent with a “New Recession,” induced by the FOMC (see July 27th discussion). A renewed downturn appears to be in play, despite intensifying official obfuscation already underway. June 2022 Money Supply showed no noticeable slackening in headline money growth or anything suggestive of pending Inflation relief.

 

• I N F L A T I O N - FLASH (August 10): July 2022 Annual CPI-U Inflation eased to a headline 8.5% from 9.1% in June, otherwise still at a 41-year high, while the July 2022 Annual ShadowStats Alternate “Corrected” CPI Inflation eased to 16.8% from 17.3% in June, otherwise still a 75-Year high, on top of year-to-year Gasoline inflation pulling back to 44.0% in July from 59.9% in June.

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In other words the Biden administration claims of bringing inflation down is only reflected by diminishing your ability to budget gasoline as it is too expensive and your dollar becomes more and more worthless due to the democrats tax, spend, borrow, and inflate the currency politics.