Fed Braces for Tightening as US Inflation Remains Steady

The US Federal Reserve is bracing for its September meeting as consumer prices hold steady at 3.4% in August, according to the Bureau of Labor Statistics.

This marks a consistent reading with July's figure and meets market consensus. However, rising energy costs have sparked concerns that inflation may escalate further.

The recent escalation of the Iran conflict has driven up Brent crude prices to $109.97 a barrel, their highest since May, before pulling back on Friday.

Core inflation, which excludes food and energy costs, eased to 2.4% in August from 2.5% in July, indicating some relief from price pressures.