August inflation report pivotal for interest rates, affordability

Friday’s inflation report could mark a pivotal moment in the U.S. affordability crisis and the tenure of President Donald Trump’s newly-installed Federal Reserve chairman.

The Consumer Price Index is expected to show that inflation rose 0.4% in August from July, and remained flat at 3.4% from a year ago. Core inflation, which strips out food and energy costs is expected to rise just 0.2% month-over-month.

The data may already be stale, however. On Thursday, U.S. crude oil rose above $100 per barrel for the first time since May, and international Brent crude oil surged past $107.

Nonetheless, investors believe that the Fed’s decision