Washington
In the United States, inflation weakened significantly in August. Consumer prices rose 2.5% compared to the same month last year, according to the Washington State Department of Labor. The inflation rate is the lowest since February 2021. The previous month, the inflation rate was quite high at 2.9%. Economists had expected interest rates to fall on average.
Prices rose 0.2 percent from the previous month, as economists had expected.
Core inflation, excluding energy and food, remained at 3.2% in August as expected. Core consumer prices rose 0.3% from the previous month, slightly exceeding expectations. The U.S. Federal Reserve is paying special attention to the key interest rate, which experts say better reflects overall price trends than the overall exchange rate.
The U.S. Federal Reserve is targeting a 2% inflation rate in the medium term. The Fed is moving toward easing monetary policy. In financial markets, Wednesday’s rate cut is a week away. However, the extent of the rate hike is still unclear.
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