August CPI Rises 0.6%, Highest Increase in Over a Year

Key Takeaways

- The Consumer Price Index (CPI) rose 0.6% in August compared to the previous month, the largest increase in over a year.

Details

- CPI-U rose 0.6% in August on a seasonally adjusted basis.

- The energy index rose 5.6% in August as all the major energy component indexes increased.

- Over the past year, CPI inflation has reached 3.7%.

Analysis

This significant increase in CPI indicates that inflationary pressures are continuing to build in the US economy. The rise in energy prices is a major contributing factor, as well as continued supply chain disruptions.

The Federal Reserve is closely monitoring inflation data and may adjust its monetary policy in response to these rising prices.