In August, the consumer prices rose by 2.9%at the annual rate, as weekly unemployment claims jump

Consumers pay for various goods and services that were moved higher than expected, in August, while the unemployed lawsuits accelerated, providing complex economic signals for the federal reserve before the meeting next week.

The consumer price index has placed a seasonal adjusted increase by 0.4% per month, the highest profit since January, which is 2.9% inflation, which is 0.2 percent compared to the previous month and the highest reading since January. Economists interviewed by Dow Jones sought appropriate testimony of 0.3% and 2.9%.

For vital reading, which excludes food and energy, the profit in August was 0.3%, which was a 12-month figure of 3.1%, as it predicts. Fed representatives believe that the core is the best caliber long -term trends. The Central Bank’s inflation is 2%.

The Labor Department announced an unexpected increase in the weekly unemployment compensation for the seasonally adjusted 263,000 per week, ended on September 6, above 235,000 estimates, and 27,000 from the pre -period period. The claim level has become the highest in almost four years.

The reports contain the final parts of the complex puzzle according to the data, which the central bankers will consider at their two -day policy meeting, which ends on September 17.

Stocks have grown sharply Following the reports as a price traders even more likely to reduce the interest rate forward.

“Today’s CPI report has fabricated reports on the wicked requirements,” Sam Shah, the main global asset management strategist, wrote. “While the CPI report is hotter than expected, it will not give the Fed a moment of fluctuations if they announced a reduction of the rate next week. If anything, the jump in the unemployed requirements will introduce a little more relevance in the decision of the Fed, and Powell is likely to signal the sequence of reducing the rate.”

In careful observation of reading IPC, its greatest profit from the shelter increases by 0.4%, which is about a third of the weighing in the index. Food prices jumped by 0.5%, while energy increased by 0.7%, and gasoline rose by 1.9%, which probably indicates the tariff effect on prices.

Market prices indicate 100%confidence that the Fed will reduce its benchmark, now oriented by 4.25%-4.5%. However, there was a slight likelihood that the Fed could choose to deviate from the usual quarter move and reduce half the score, given the weakness in the labor market this year and the muted inflation testimony.

Traders also moved the likelihood of another decline in October to almost certainty and saw a high likelihood of a third step in December.

Fed officials closely monitor inflation data to prompt the impact of the president Donald TrumpTariffs. Some visible performance was carried out, although the inflation figures were relatively well behaved. BLS reported on Wednesday that the prices for manufacturers actually decreased by 0.1% in August.

The tariff prices sensitive to tariffs increased monthly, and new vehicles increased by 0.3%. Prepared cars and trucks that usually do not affect tariffs increased by 1%.

The Fed, however, is more focused on the cost of services as signals of basic inflation. Historically, tariffs were considered as a temporary increase in goods, but not a long -term inflation driver.

In August, the prices for services, excluding energy, increased by 0.3% and increased by 3.6% a year. The shelter also increased by 3.6% annually and at the beginning of 2023, it was invariably reduced a year after reaching a maximum of 8%.

If the Fed officials had doubts about the reduction, the work claims may have made a deal.

Initial applications have reached the highest point since October 23, 2021, indicating that employers can reduce their workforce. Although hiring slowed over the year, the dismissal was also tamed, which testifies Jerom Powell He has repeatedly called the “solid” labor market.

The permanent claims that take the week behind have not changed to 1.94 million, but since the end of 2021 has been operating at the highest level.