WASHINGTON (apro).-The U.S. economy remains on track toward a monetary policy adjustment by the Federal Reserve, as the inflation rate remained at 2.5% in August, the Labor Department reported.
The Bureau of Labor Statistics stated that during the eighth month of 2024, the Consumer Price Index increased by 0.2%, the same figure recorded in the previous month; therefore, the annualized inflation rate remains unchanged.
The stability in the cost of goods and services in the United States is good news and another indication that the Federal Reserve’s Open Market Committee (Central Bank) may announce the first adjustment to interbank lending rates.
Next week, on September 17 and 18, the governors of the Open Market Committee will meet to review the country’s macroeconomic situation and, according to Jerome Powell, president of the Federal Reserve, they will announce the first cut in interest rates.
Predictions regarding monetary policy adjustment range from a 0.25% to 0.5% cut in interest rates, which would also be good news politically and electorally for the Democratic presidential candidate, Kamala Harris, the country’s current vice president.
The Labor Department said housing costs rose 0.5% last month, which was the main factor behind the 0.2% monthly inflation increase, but food costs fell 0.1%, after a 0.2% increase last July.
In parallel, the value of energy was a positive macroeconomic box for inflation control in August, since during the past month it suffered a contraction of 0.8%, which helped the annual inflation rate to be 2.5%; the lowest figure since February 2021.
According to the Labor Statistics Bureau’s comparisons of the Consumer Price Index, excluding the cost of food and energy, inflation rose 3.2% in August of this year.
In the case of the value of energy products, the Department of Labor reported that in annualized terms it decreased by 4%, while that of food and basic necessities in the basic basket increased by 2.1% compared to August 2023.
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2024-09-12 19:42:16