The Consumer Price Index (CPI) for August rose 0.6%, inline with economist expectations for 0.6% and up from 0.2% in July. On an annualized basis, CPI inflation rose to 3.7%% versus forecasts for 3.6% and from 3.2% a month earlier.

The core CPI – which strips out food and energy costs – rose 0.3% versus economist expectations for 0.2% and against 0.2% a month earlier. On an annualized basis, core CPI fell to 4.3%, inline with economist forecasts and down from 4.7% in July.

The price of bitcoin (BTC) was little-changed at $26,100 in the minutes following the news.

Surging oil prices – WTI crude oil rose to its highest levels of 2023 in August (the move continuing into September) – were a major factor in the rise of headline inflation last month. The U.S. Federal Reserve, though, will likely take comfort in the continuing decline in core inflation, which fell to its weakest pace since mid-2021.