US Inflation Comes in Higher Than Expected as Food, Shelter Costs Surge

A shopper is seen past a sign displaying the price per pound of russet potatoes at a supermarket in Montebello, Calif., on Aug. 23, 2022. Frederic J. Brown/AFP via Getty Images

The U.S. annual inflation rate came in at 8.3 percent in August, higher than the market forecast of 8.1 percent, according to the Bureau of Labor Statistics (BLS). This is slightly down from the 8.5 percent reading in July.

The core inflation rate, which strips the volatile food and energy sectors, also advanced to 6.3 percent last month. This was also higher than the market expectation of 6.1 percent and up from 5.9 percent in July.