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U.S. inflation tame as economy gains momentum

August 16, 2016 by · Leave a Comment 

U.S. consumer prices were unchanged in July on falling gasoline costs, but solid gains in industrial output and home building suggested a pickup in economic activity that could allow the Federal Reserve to raise interest rates this year. Tuesday's mixed reports came as influential New York Fed President William Dudley said the U.S. central bank could hike rates next month, citing a tightening labor market that he said was starting to spur faster wage growth. “The strong housing starts and industrial output performance will …

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U.S. inflation tame as economy gains momentum