August CPI Report Shows Higher-Than-Expected Core Inflation, Fueling Rate Hike Prospects
By TopHolding Editorial · Thursday, September 10, 2026 at 8:00 PM
First Trust Portfolios economists highlight that August saw the Consumer Price Index (CPI) rise 0.4%, matching consensus, while core CPI unexpectedly climbed 0.3%. This stronger-than-anticipated core inflation, coupled with a robust jobs report, increases the likelihood of a Federal Reserve rate hike next week, according to their analysis.
According to Nate Gerze, Economist, Brian S. Wesbury, Chief Economist, and Robert Stein, Deputy Chief Economist at First Trust Portfolios, the Consumer Price Index (CPI) increased 0.4% in August, aligning with consensus expectations. This brought the year-over-year CPI rise to 3.4%. Energy prices advanced 2.1% during the month, and food prices saw a 0.1% increase. The
Source: Nate Gerze, Economist; Brian S. Wesbury, Chief Economist; Robert Stein, Deputy Chief Economist, First Trust Portfolios — Data Watch. Read the original at ftportfolios.com.