Washington: U.S. inflation increased less than expected in August,which could see financial markets further reduce the odds of another interest rate increase from the Federal Reserve next month.
The Personal Consumption Expenditures Price Index rose 0.3% last month after a downwardly revised 0.1% gain in July, the Commerce Department's Bureau of Economic Analysis said on Wednesday. Economists polled by Reuters had forecast the PCE price index rising 0.4% after a previously reported 0.2% gain in July. In the 12 months through August, PCE inflation advanced 2.6% after increasing by a downwardly revised 3.4% in July.
