U.S. consumer price inflation slowed modestly in August compared to July, according to data from the Bureau of Labor Statistics. This potentially suggests the beginning of supply chain constraints easing.
Headline CPI in August rose +5.3% from the year-ago period. It was +5.4% year-over-year in July -- the highest since 2008.
Core inflation, which strips-out volatile components such as food and energy prices, rose +4% year-over-year in August, down from last month's +4.3% which was nearly the highest levels since the early 1990s.
Last week, the Labor Department data indicated that producer prices in August rose +8.3% year-over-year, which was faster than .The rate was also the highest on record. However, it was largely a result of supply-chain limitations due to coronavirus pandemic.