FX.co ★ U.S. Consumer Prices Rise In Line With Estimates In August

The Labor Department released a report on Wednesday indicating that consumer prices in the U.S. increased as projected for August, though the annual rate of consumer price growth decelerated slightly more than anticipated.

According to the report, the consumer price index rose by 0.2 percent in August, consistent with both July's increase and economist forecasts.

However, the annual rate of consumer price growth slowed to 2.5 percent in August from 2.9 percent in July. Economists had expected a reduction to 2.6 percent year-over-year.

This slowdown resulted in the smallest 12-month increase in consumer prices since February 2021.

Additionally, the report noted that core consumer prices, which exclude food and energy, increased by 0.3 percent in August, following a 0.2 percent rise in July. Economists had predicted core price growth of 0.2 percent.

The annual rate of core consumer price growth remained steady at 3.2 percent in August, aligning with economist expectations.