Forex
US Inflation Accelerates Amid Middle East Conflict
The US inflation rate accelerated last month due to rising gas prices in the wake of renewed fighting in the Middle East. The consumer price index rose 3.4% compared to a year ago, with costs jumping 0.4% from July.
Gasoline prices increased by 3.9% just from July to August and are more than 27% higher than a year earlier. The nationwide average cost of a gallon of gas on Friday is $4.30.
The Federal Reserve, which has been battling inflation, may be forced to boost its benchmark interest rate next week in response to the latest figures.
Some economists believe that more expensive fuel could spill into other parts of the economy, causing prices for goods and services to rise even further.