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October 1, 2026

Inflation cooled slightly last month even as consumers stepped up spending

  • From July to August, core prices rose just 0.2%, up from 0.1% the previous month.
    • By CHRISTOPHER RUGABER
    AP Economics Writer

    WASHINGTON — Inflation slowed a bit last month as Americans ramped up their spending, though prices are still elevated and a challenge for many voters that will head to the polls for midterm elections in just over a month.

    Consumer prices rose 3.4% in August compared with a year earlier, the Commerce Department said Wednesday, below the 3.7% economist expectations. On a monthly basis, prices climbed 0.3%, up from 0.1% in July, a sign prices that are still running hot.


     
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