Inflation cooling streak continued in August, hitting a 3-year low

The Labor Department’s report showed that consumer prices rose 2.5% in August from a year earlier, down from 2.9% in July.

The post-pandemic spike in U.S. inflation eased further last month as year-over-year price increases reached a three-year low, clearing the way for the Federal Reserve to cut interest rates and likely shaping the economic debate in the final weeks of the presidential race.