Warsh Faces Rate Hike Pressure After Hot CPI Report

Fed Chairman Kevin Warsh is facing intense pressure to raise interest rates at next week's policy meeting after a hot inflation report. The US consumer price index, which excludes food and energy costs, rose 0.3% from last month in August, according to the Bureau of Labor Statistics data released on Friday.

This inflation increase bolsters the argument that several policymakers already embraced, namely that the Fed must act to curb price pressures after more than five years of elevated inflation. The report has put Warsh under pressure to raise interest rates, and it remains to be seen how he will respond at next week's meeting.