The details in the latest Consumer Price Index report could compel the Federal Reserve to raise interest rates.

US consumer prices rose 3.4% in the year to August, unchanged from July and exactly in line with expectations, but the monthly increase of 0.4% was the sharpest since May, a sign the energy shock is starting to bite four days before a Federal Reserve decision markets expect will deliver a rate hike.

The Bureau of Labor Statistics reported Friday that the Consumer Price Index rose 0.4% in August, its fastest monthly pace since April.

The August 2026 CPI report is forecast at 3.3% YoY, marking a third month of cooling inflation ahead of the Fed's September 16 rate decision.

Dow Jones| Nasdaq | S&P 500 | US Stock Market Today |Live Updates: US stock futures rebounded on Friday as oil prices eased, offering some relief to investors ahead of the US consumer inflation report.

By Chibuike Oguh NEW YORK, Sept 11 (Reuters) - The dollar edged higher against the Swiss franc on Friday after closely watched U.S. inflation data showed a rise in consumer prices, reinforcing expectations that the Federal Reserve will raise interest rates next week.

U.S. inflation accelerated last month as gas prices spiked in the wake of renewed fighting in the Middle East, underscoring the affordability challenges that are top of mind for many voters with midterm elections now just seven weeks away.

August CPI rose 0.4% month-over-month with core inflation at 0.3%, beating consensus and complicating the Fed's rate decision ahead of next