This morning’s Labor Department report on the Consumer Price Index showed that CPI rose 2.9% on an annual basis in August, in line with most economist expectations. That’s an increase from the previous month’s numbers, when inflation was measured at 2.7% on an annual basis.
On a monthly basis, the increase was 0.4%, slightly higher than the expected 0.3% increase.
According to a Reuters report, excluding volatile food and energy components, core CPI rose 3.1% annually, in accord with estimates of 3.1%.
A separate report, according to the Reuters story, showed that the number of Americans filing new applications for unemployment benefits stood at 263,000 for the week ended Sept. 6, above estimates of 235,000, increasing concerns of a weakening U.S. labor market.
Results from these indices are expected to keep the prospects of a Fed rate cut later this month on track. Dow Jones futures were up 92 points, or 0.21%, as markets opened, and Nasdaq 100 futures were up 71 points, or 0.3%, reflecting equity markets’ general positive acceptance of the CPI numbers.
