Consumer prices up slightly in August in measure of slowing inflation

Sept. 14 (UPI) -- A gauge that measures consumer prices in the United States rose slightly during the month of August in a signal that rising inflation may be leveling out, the Labor Department said in a report Tuesday.

The Consumer Price Index increased by 0.3% from July to August and 5.3% over August 2020. Most experts had expected the increase to be greater.

Consumer prices had risen by 0.5% from June to July.

When excluding food and energy, prices increased by 0.1%, the smallest rise in six months.

Tuesday's figures indicate, some experts say, that U.S. inflation may be cooling after rising over the past several months.

The Bank of America Fund Manager Survey for September showed that many analysts believe inflation will start to decline over the next year.

"Along with the indexes for household operations and shelter, the indexes for new vehicles, recreation and medical care also rose in August," the Labor Department said in a statement. "The indexes for airline fares, used cars and trucks, and motor vehicle insurance all declined over the month."

Gasoline, often the main driver of the total index, increased by 2.8% and food rose by 0.4%.

Last week, the Labor Department said producer prices in the United States were up 0.7% in August. Year-to-year, it was up 8.3%, the largest annual gain since 2010.