US August CPI printed right in line with expectations

US August CPI printed right in line with expectations both on the headline and core measures. In the context of much talk that inflation is what could hold back the Fed from hiking tomorrow.

"Our US strategists point out that core CPI on a y/y basis has continued to track just below the 2% target (Aug printed 1.8%y/y) for the past 6 months", notes RBC Capital Markets.

On the housing sector, we got yet another sign of very heated activity, with builder confidence posting another cycle high and the best level since 2005.