By Govtafplast Updated
Copyright indiatimes
iStockRepresentative image.
US consumer inflation rose last month to its highest level since January, government data showed Thursday, although analysts believe that this is unlikely to deter the central bank from an interest rate cut next week.The consumer price index (CPI) picked up to 2.9 percent in August, accelerating from 2.7 percent on a year-on-year basis in July, said the Labor Department, as President Donald Trump’s tariffs filter through the world’s biggest economy.For now, economists are trying to gauge if these duties will bring about a one-off price increase or lead to persistently higher costs.On a month-on-month basis, CPI rose 0.4 percent in August, the report said, also picking up from 0.2 percent in July.And a measure of underlying inflation, stripping away the volatile food and energy components, was up by 3.1 percent from a year ago.Live EventsAll eyes are on inflation numbers this week, given that these typically have some bearing on the Federal Reserve’s interest rate decisions.But “the Fed is poised to start cutting rates next week, almost regardless of what the CPI figure prints,” Nationwide chief economist Kathy Bostjancic told AFP.Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onUS consumer inflationCPI August 2025Federal Reserve interest rate cutconsumer price indexinflation rates September 2025Donald Trump tariffsunderlying inflationNationwide chief economisteconomists outlook inflationLabor Department
(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
(You can now subscribe to our Economic Times WhatsApp channel)Read More News onUS consumer inflationCPI August 2025Federal Reserve interest rate cutconsumer price indexinflation rates September 2025Donald Trump tariffsunderlying inflationNationwide chief economisteconomists outlook inflationLabor Department(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
Explore More Stories123
