US inflation rises 3.4% in August as diesel exceeds $6/gallon
Official figures confirm US prices rose 3.4% year-on-year in August, driven primarily by a new all-time high for diesel fuel.
The Bureau of Labor Statistics reported that US consumer prices increased by 3.4% compared to the previous year through August. Gasoline accounted for more than one-third of this overall rise, having climbed 3.9% in the single month prior. A gallon of diesel recently reached a new record average cost exceeding $6. This surge in fuel costs has put significant pressure on household budgets alongside stagnant wages, which fell 0.3% over the past year when adjusted for inflation. The current economic data arrives just before the Federal Reserve prepares to announce its next interest rate decision next week. Market participants are increasingly anticipating a hike as officials aim to curb the ongoing rise in prices.
