Underlying US inflation ran at a faster-than-expected monthly pace in August, underscoring the bumpy nature of easing price pressures.
The so-called core consumer price index, which excludes food and energy costs, advanced 0.3% from July, the first acceleration in six months, Bureau of Labour Statistics data showed Wednesday. From a year ago, it increased 4.3%, in line with estimates and marking the smallest advance in nearly two years.
Economists favor the core gauge as a better indicator of underlying inflation than the overall CPI. That measure rose 0.6% from the prior month, the most in over a year, and 3.7% from a year ago, reflecting higher energy prices. Gasoline costs accounted for over half of the advance in the overall measure in August, according to BLS.
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| Indicator | Actual change | Median estimate |
|---|---|---|
| CPI (MoM) | +0.6% | +0.6% |
| Core CPI (MoM) | +0.3% | +0.2% |
| CPI (YoY) | +3.7% | +3.6% |
| Core CPI (YoY) | +4.3% | +4.3% |
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