The U.S. Consumer Price Index report for August is scheduled for release on September 11. This data serves as a critical indicator for the Federal Open Market Committee ahead of its meeting on September 15-16.
Current Federal Reserve benchmark policy rates are set between 3.50% and 3.75%. In July, the headline CPI recorded a month-over-month increase of 0.1% and a year-over-year rise of 3.4%.
Market expectations for a rate hike at the upcoming September meeting have shifted significantly. The probability of an increase has climbed to 63.5%, compared to 55% recorded 24 hours earlier.
Investors are monitoring the report for signs of inflationary pressure that may influence future policy decisions. Federal Reserve Chair Jerome Powell is expected to provide commentary following the FOMC meeting.
