The U.S. Consumer Price Index (CPI) for August showed a higher-than-expected increase, with core CPI rising 0.3% month-over-month and 3.1% year-over-year, aligning with forecasts. Headline CPI increased by 2.9% year-over-year and 0.4% month-over-month, surpassing expectations. Despite the largest year-over-year inflation rise in seven months, the Federal Reserve is still expected to proceed with a rate cut next week, as the labor market remains weak.