{"id":492687,"date":"2022-09-13T17:11:00","date_gmt":"2022-09-13T14:11:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices\/"},"modified":"2022-09-13T17:11:00","modified_gmt":"2022-09-13T14:11:00","slug":"economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices\/","title":{"rendered":"#Economic Report: U.S. inflation roars back in August, CPI shows, despite falling gas prices"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a5056c86e185\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a5056c86e185\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices\/#%E2%80%9CEconomic_Report_US_inflation_roars_back_in_August_CPI_shows_despite_falling_gas_prices%E2%80%9D\" >&#8220;Economic Report: U.S. inflation roars back in August, CPI shows, despite falling gas prices&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices\/#Consumer_price_index_rises_scant_01_in_August_but_core_rate_surges_and_worries_Wall_Street\" >Consumer price index rises scant 0.1% in August, but core rate surges and worries Wall Street<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/economic-report-u-s-inflation-roars-back-in-august-cpi-shows-despite-falling-gas-prices\/#Jeffry_Bartash\" >Jeffry Bartash<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CEconomic_Report_US_inflation_roars_back_in_August_CPI_shows_despite_falling_gas_prices%E2%80%9D\"><\/span>&#8220;Economic Report: U.S. inflation roars back in August, CPI shows, despite falling gas prices&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Consumer_price_index_rises_scant_01_in_August_but_core_rate_surges_and_worries_Wall_Street\"><\/span>\n  Consumer price index rises scant 0.1% in August, but core rate surges and worries Wall Street<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap crawler\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0001173206\" role=\"document\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0001173206\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       <strong>The numbers: <\/strong>Falling gas price delivered a second low U.S. inflation reading in a row as the consumer price index rose by just 0.1% in August. But the report also showed inflation has spread more broadly through the economy and is set to spur the Federal Reserve  to sharply raise interest rates again. <\/p>\n<p> Economists polled by The Wall Street Journal had forecast a 0.1% drop in the CPI. The small increase last month lowered the yearly rate of inflation to 8.3% from 8.5% in July and a 41-year high of 9.1% in June. <\/p>\n<div class=\"paywall\">\n       Yet in a more worrisome sign, the so-called core rate of inflation that omits food and energy prices rose by a sharp 0.6%, doubling up the prior month\u2019s increase. Wall Street had forecast a 0.3% gain. <\/p>\n<p>The Fed views the core rate as a more accurate measure of future inflation trends.<\/p>\n<p>The increase in the core rate over the past year escalated to 6.3% from 5.9%, underscoring how much inflation has become embedded in the economy. The cost of staples such as food, rent, medical care, furnishings and new cars all rose last month.<\/p>\n<p>By contrast, inflation rose an average of less than 2% a year in the decade preceding the pandemic. <\/p>\n<p><strong>Big picture: <\/strong>The Fed is expected to boost interest rates through the end of 2022 to try to extinguish the worst inflationary fire in four decades, but it has a long way to go to return to pre-pandemic levels.<\/p>\n<p>The central bank risks a U.S. recession if it goes too far, however. Higher interest rates reduce inflation by raising the cost of borrowing for consumers and businesses and thereby slowing the economy.<\/p>\n<p>The central bank is primed for another supersized rate increase at its next meeting on Sept. 20-21 in Washington. The dis<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ointing CPI report suggests another three-quarter percentage point increase is on tap.<\/p>\n<p><strong>Key details:<\/strong> The tepid headline CPI readings in August and July stemmed mostly tumbling gasoline prices. The government said gasoline prices fell 10.6% last month.  <\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>The average U.S. cost of a gallon of gas, which topped $5 for the first time ever in June, fell to $3.83 at the end of August. <\/p>\n<p>It\u2019s since declined to $3.69 in September, the Energy Information Administration reported, suggesting another low headline inflation reading in the next CPI report.<\/p>\n<p>The rest of the August report, however, was filled with warnings signs on inflation. <\/p>\n<p>The cost of groceries jumped again last month and they are up  13.5% in the past year \u2014 the biggest increase since 1979.<\/p>\n<p>Rent surged 0.7% in August, as did housing. The Fed is especially worried about rising rent since it\u2019s one of the biggest contributors to inflation and shows little sign of reversing.<\/p>\n<p>Rents have risen 6.3% in the past year to mark the biggest gain since 1990.<\/p>\n<p>More bad <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a>: Medical care is getting more expensive again after prices flattened out during the pandemic. The cost of care has leaped 5.4% in the past year, the largest increase since 1993.  <\/p>\n<p>Prices also rose last month for almost everything else, with the exception of airlines fares and used vehicles.<\/p>\n<p>The one bit of goods news:  Inflation-adjusted wages rose 0.2% in August to mark the second increase in a row. Real wages have fallen 2.8% in the past year, however.<\/p>\n<p><strong>Looking ahead:<\/strong> \u201cUnderlying inflation pressures remained intense\u00a0in the August CPI report,\u00a0virtually guaranteeing another outsized rate hike from the Fed next week,\u201d said senior economist Sal Guatieri of BMO Capital Markets.<\/p>\n<p><strong>Market reaction: <\/strong>U.S. stocks opened sharply lower Tuesday as investors reacted to the stronger-than-expected inflation reading . The Dow Jones Industrial Average<br \/>\n        DJIA,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210598065\/realtime\" class=\"negative\">-2.66%<\/bg-quote><br \/>\n      \u00a0\u00a0dropped more than 700 points while the S&amp;P 500<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"negative\">-3.06%<\/bg-quote><br \/>\n      \u00a0\u00a0also sank.<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Jeffry Bartash\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/www.marketwatch.com\/topics\/journalists\/jeffry-bartash\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/jbartash\",\"text\":\"@jbartash\"},{\"type\":\"link\",\"icon\":\"email\",\"url\":\"http:\/\/www.marketwatch.com\/news\/mailto:jbartash@marketwatch.com\",\"text\":\"jbartash@marketwatch.com\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Jeffry_Bartash\"><\/span>Jeffry Bartash<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><ufc-follow-author-widget product=\"marketwatch\" author-id=\"82_MW\" author-name=\"Jeffry Bartash\" signin-url=\"https:\/\/accounts.marketwatch.com\/login?target=https%3A%2F%2Fwww.marketwatch.com%2Fstory%2Fcoming-up-consumer-price-index-for-august-11663070838%3Frss%3D1%26siteid%3Drss\" panda-api=\"https:\/\/follow-api.marketwatch.com\"><\/ufc-follow-author-widget><\/p><\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C06575-04D4-B545-711E-6D6EF107ACA4%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Economic Report: U.S. inflation roars back in August, CPI shows, despite falling gas prices&#8221; Consumer price index rises scant 0.1% in August, but core rate surges and worries Wall Street The numbers: Falling gas price delivered a second low U.S. inflation reading in a row as the consumer price index rose by just 0.1% in&#8230;<\/p>\n","protected":false},"author":1,"featured_media":492688,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.mktw.net\/im-618891\/social","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-492687","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/492687","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=492687"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/492687\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/492688"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=492687"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=492687"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=492687"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}