Prices Rose Less Than Expected in August

Prices rose 3.4% in August from a year ago, below the 3.7% Reuters forecast, the BEA government agency said September 30. Like a shopping bill, this PCE gauge tracks living costs. Stocks rose as bets for an October Fed borrowing-cost hike fell to about 35% from 45%, per LSEG. After September's hike to 3.75%-4.00%, cooler prices may bring a pause.