Decreased from previous highs in July, which is anticipated to cause prices to continue to rise.
Consumer prices increased 8.5% from a year ago, according to the Consumer Price Index released by the Labor Department.
The annual growth rate in June was 9.1%, which was below the 40-year high. While the price of gas decreased, the cost of food and rent increased.
Bloomberg questioned economists who projected that annual inflation would drop to 8.7%.
Consumer prices didn't move on a monthly basis in July after rising by 1.3% in June.
Key pricing, which don't include erratic food and energy costs and typically offer a more accurate indicator of future developments,
In July, it increased by 0.3%, compared to a 0.7% increase in June. After three consecutive months of falls, annual growth was 5.9%.
In morning trading, the Dow Jones Industrial Average increased by 521 points and the S&P 500 by 1.75 percent.
Gas prices, which increased inflation, are now weakening due to worries
Demand will decline due to the global recession. Pump costs dropped 7.7% from the prior month.
nonetheless, are increasing 44% yearly. Unleaded regular average increased to $4.03 on Tuesday from $4.70 one month earlier.
Goldman Sachs stated that more decline in the futures market is expected.
Ham costs decreased 1%. Moreover, the cost of meat and veal remained steady after dropping 2.3% in June.