US Inflation Rate Remains High Amid Ongoing Trade Tensions

The inflation rate in the US remains stubbornly high, according to data released by the Commerce Department. The personal consumption expenditures price index, a key measure watched by the Federal Reserve, rose 3.7% in July compared to the same period last year.

This is the same as June's reading and marks a significant increase from February, when it stood at 2.9%. The current inflation rate is noticeably above the Fed's target of 2%, which has been a concern for policymakers.

Excluding food and energy prices, core inflation was also unchanged at 3.3% in July. Some Fed officials have said that core inflation running at about 0.2% a month would be a reassuring sign that inflation is heading back to the 2% target.