The August 2024 CPI is expected to rise 2.6% year-on-year (2.9% in July).
If true, it would be the smallest annual increase since March 2021 (also 2.6%).
However, the core CPI, which excludes food and energy prices, rose 0.3% on the month, slightly higher than the 0.2% estimate. The core CPI over the past 12 months in the US was 3.2%, in line with forecasts. The increase was mainly due to housing costs.
However, overall inflation has slowed sharply and is on track for a fifth consecutive monthly decline.
The first rate cut since 2020 is almost certain next week, the question now is whether the Fed will do more.
Next Events to Watch:
ā¤ September 12: PPI Data Release ā¤ September 18: FOMC Meeting (Rate Cut)
