U.S. Inflation Seen Spiking in August Amid Soaring Gas Prices

U.S. consumer inflation is likely to have accelerated in August due to rising gas prices, which rebounded after two consecutive monthly declines.

The Labor Department's Consumer Price Index report, scheduled for release on Friday, will provide insight into the state of inflation, a key metric monitored by the Federal Reserve.

According to economists surveyed by Reuters, the CPI is expected to have increased 0.4% in August, following a 0.1% rise in July. The year-on-year increase in consumer prices is forecast to be 3.4%, matching July's gain.

The upward trend in gas prices is attributed to the ongoing conflict, which has led to elevated oil prices and diesel reaching record highs in the U.S.