U.S. Core Inflation Picks Up More Than Forecast to One-Year High
Thursday, 12 September 2019 19:47 WIB |
ECONOMY |Ekonomi ASCPI Amerika
A measure of underlying U.S. inflation accelerated by more than forecast to a one-year high in August, signaling inflation was already firming ahead of fresh tariffs on Chinese goods this month that may push prices higher for Americans.
The core consumer price index, which excludes food and energy, rose 0.3% from the prior month and was up 2.4% from a year earlier, a Labor Department report showed Thursday. That exceeded the median estimates in a Bloomberg survey, while the broader CPI climbed 0.1% on the month and a below-forecast 1.7% annually.
The core reading reflected the biggest monthly rise in medical-care costs since 2016. Sustained increases in inflation could give some Federal Reserve policy makers pause as they weigh additional interest-rate cuts this year, though the central bank is expected to make a second straight reduction next week as the global growth outlook dims and uncertainty over trade policy damps business investment.
Inflation may pick up further this month following the latest escalation in the tariff battle, as President Donald Trump's levies on a range of consumer goods from China took effect Sept. 1. Late Wednesday, Trump delayed the next round of tariff increases by two weeks to Oct. 15 as the U.S. and China try to resume face-to-face talks.
Source : Bloomberg