US CPI: headline index to rise 0.3% in August - Westpac

Come August, analysts at Westpac expect that US inflation will quicken a touch as energy prices add to subdued but stable core inflation and core prices are expected to rise 0.2%; the headline index 0.3%.

Key Quotes

“Of late, inflation data for the US has regularly disappointed, with one 'transitory' disinflationary pressure followed by another. While the FOMC remains of the view that inflation will accelerate to target, increasingly the market has been asking whether disinflation is a structural phenomenon.” 

“There is one positive that can be gleaned from the monthly data points: they are heading in the right direction; May's –0.1% followed by a flat outcome in June and a 0.1% gain in July. During that period, core inflation (excluding food and energy) rose 0.1% per month. For both headline and core inflation, annual inflation was 1.7%yr at July.”