U.S. inflation came in slightly above expectations in August, with CPI rising 0.396% month over month, or 0.4%, versus expectations of about 0.39%. The bigger surprise came from core CPI, which rose 0.290% from the previous month, well above the 0.22% forecast and up from 0.215% in July. On a yearly basis, CPI rose 3.397%, while core CPI eased to 2.446% from 2.478%. The data could make it harder for the Federal Reserve to lower interest rates, especially with higher energy prices and geopolitical risks.
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