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CPI data shows easing inflation but weak jobs report keeps Fed cautious on rate hikes.

Market News
12 Aug 2026
Kitco
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Neutral
CPI data shows easing inflation but weak jobs report keeps Fed cautious on rate hikes.

The latest CPI report indicates that broad inflation pressures are easing, with subdued shelter costs and contained core inflation. However, a weak jobs report last Friday complicates the Federal Reserve's outlook, as both inflation and employment concerns now influence policy decisions. Economists at Natixis expect the Fed to hold rates steady for now, anticipating a slow move toward the 2% inflation target amid a cooling consumer sector and uncertain labor market. Gold prices rose sharply following the CPI release, reflecting market reactions to the mixed economic signals.

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