U.S. inflation remains elevated as Fed weighs next rate move

The Federal Reserve’s preferred inflation gauge rose 0.2% in July, exceeding economists’ 0.1% forecast and keeping the outlook for interest rates uncertain.

Inflation increased 3.7% over the past year, unchanged from June and well above the Fed’s 2% target. Core inflation, excluding energy, also rose 0.2% for the month and 3.3% year over year.

The figures could increase pressure on the central bank to raise interest rates soon if price growth does not slow significantly.

Read the full story at morningstar.com.