Figures released today show that overall US consumer prices and 'core' prices excluding food and energy both rose by 0.2% in August, in line with expectations.
The Labor Department report may help reassure the Federal Reserve that US inflation pressures are continuing to ease.
The department said its core consumer price index, an inflation gauge that strips out volatile food and energy costs, rose 0.2% in August, matching a 0.2% rise in July which followed four straight months of 0.3% increases. Overall consumer prices were up 0.2% after a 0.4% gain in July.
Energy prices increases slowed substantially, climbing by a seasonally adjusted 0.3% in August after a 2.9% surge in July. Overall transportation costs, which included lower airline fares and new vehicle costs, rose 0.2% after a 1.6% rise in July.
For the 12 months to August, core consumer prices have risen 2.8%, compared with 2.7%% for the 12 months to July. Overall consumer prices rose 3.8% in the 12 months to August, compared with 4.1% for July.
Separate figures from the Federal Reserve showed that US industrial production fell 0.1% in August after an upwardly revised 0.4% increase in July. The report measuring the output of US factories, mines and utilities was consistent with indications of a cooling of the US economy.
