August Consumer Prices Surge As Shelter Costs Spike Most Since 2005
After disappointing (for The Fed's inflationistas) producer prices growth yesterday, consumer prices jumped 0.4% MoM in August - the biggest spike since January. Gains were driven by soaring energy costs (offset by a big decline in vehicle prices).
Year over Year, CPI remains below The Fed's mandat at +1.9% but that is hotter than expected and the highest since April..
As the breakdown shows, the gains were largely driven by rising energy and shelter costs (and note that vehicle prices are tumbling)