The US core inflation rate, which excludes volatile food and energy prices, eased to 2.4% in August 2026 from 2.5% in July, in line with market expectations. This was the lowest reading since March 2021, indicating a degree of normalization after the sharp post‑pandemic surge in prices.
Inflation slowed for commodities excluding food and energy (0.7%) and for new vehicles (0.6%). By contrast, price increases remained elevated for shelter (3.0%) and medical care services (2.5%), and were broadly in line with the overall core rate for transportation services (2.4%). On a month‑over‑month basis, core consumer prices rose 0.3%.
