Inflation has been slowing for months, which has paved the way for Federal Reserve interest rates cuts. Inflation cooled in August, the latest sign of progress in the Federal Reserve’s yearslong fight to bring rapid price increases back under control.

The Federal Reserve’s preferred inflation measure provided the latest sign that price pressures are easing, a trend that is expected to fuel further Fed interest rate cuts.

An inflation measure closely tracked by Federal Reserve policymakers fell in August to 2.2% as inflation continued to trend closer to the central bank's target.

The Federal Reserve’s preferred inflation measure continued to show muted growth in August, providing more evidence that policymakers were on the right track with the recent interest-rate cuts. The core personal consumption expenditures,

Inflation moved closer to the Federal Reserve’s target in August, easing the way for future interest rate cuts, the Commerce Department reported Friday.

The Federal Reserve’s preferred measure of US inflation dropped by more than expected to 2.2 per cent in the year to August, paving the way for the central bank to cut interest rates again in November.

The personal consumption expenditures (PCE) price index rose 0.1% in August after an unrevised 0.2% gain in July the Commerce Department reported on Friday. Economists had forecast PCE inflation advancing 0.

The Federal Reserve’s preferred measure of underlying US inflation and household spending rose modestly in August, underscoring a cooling economy.