US inflation accelerated in August as the Consumer Price Index rose 0.4% on a seasonally adjusted basis, up from 0.1% in July, the Bureau of Labor Statistics reported. Prices increased 3.4% over the 12 months through August, matching July’s annual increase.
Gasoline was a major driver of the monthly increase, rising 3.9% and accounting for more than one-third of the overall CPI gain. Energy prices rose 2.1%, shelter increased 0.3% and food advanced 0.1%. The food-away-from-home index climbed 0.3%.
Excluding food and energy, CPI rose 0.3% in August after a 0.2% increase in July. Communication, lodging away from home, airline fares, education and used vehicles all posted increases, while medical care and motor vehicle insurance declined.
Core prices rose 2.4% from a year earlier, down from 2.5% in July. Energy prices increased 16.3% over the year, with gasoline up 27.4%, while food prices rose 2.7%.
The food-at-home index was unchanged in August, although eggs rose 2.9%, dairy prices increased 0.3% and nonalcoholic beverages gained 0.2%. Fruits and vegetables fell 0.4%, while food away from home rose 0.3%.
