August CPI report: 3 takeaways as Fed plans to cut rates

August CPI came in line with economist estimates, but core CPI rose 0.3% month over month versus the 0.2% expected. The modest upside surprise in core inflation may keep pressure on the Fed to stay cautious on rate cuts and could support higher yields.

Analysis

August CPI came in line with economist estimates, but core CPI rose 0.3% month over month versus the 0.2% expected. The modest upside surprise in core inflation may keep pressure on the Fed to stay cautious on rate cuts and could support higher yields.