Forex
US Inflation Hits 3.4% as Gas Prices Spike Amid Middle East Conflict
US inflation picked up last month due to higher gas prices caused by the conflict in the Middle East. The consumer price index rose 3.4% from August 2025 to August 2026 compared with a year ago, matching the rate of increase in July. However, on a monthly basis, inflation accelerated as costs jumped 0.4% from July to August.
The Labor Department reported this inflation surge just seven weeks before the US midterm elections. The increased gas prices are likely to exacerbate affordability concerns for many voters.