Overview
- The Bureau of Labor Statistics reported that U.S. consumer prices in July rose 3.4% year‑over‑year and 0.1% month‑over‑month, with core CPI at 2.5%, numbers released Wednesday that matched economists’ forecasts.
- Stocks ticked higher and Treasury yields fell after the report as traders shifted toward expecting the Federal Reserve to hold rates in September rather than raise them immediately.
- Energy prices stayed high because shipping through the Strait of Hormuz remains restricted and the U.S. military struck a Panama‑flagged vessel trying to breach the blockade, keeping a geopolitical premium on oil and inflation risks intact.
- Short‑term technicals for September crude show bullish momentum so long as prices hold $81.90–$82.00 support and clear $82.55 resistance, a breakout that analysts say would open the path toward about $83 and higher.
- Investors will watch coming U.S. data and speeches for confirmation of the trend, particularly producer prices, the next jobs reports, and remarks from Fed Chair Kevin Warsh, while consumers continue to feel pressure from gasoline costs that remain far above year‑ago levels.