The Labor Department announced on Thursday the U.S. consumer price index (CPI) edged up 0.1 percent m-o-m in August, following a 0.3 percent m-o-m increase in the previous month.

Over the last 12 months, the CPI rose 1.7 percent y-o-y last month, following a 1.8 percent m-o-m advance in the 12 months through July.

Economists had forecast the CPI to increase 0.1 percent m-o-m and 1.8 percent y-o-y in the 12-month period.

According to the report, gains in the indexes for shelter (+0.2 percent m-o-m) and medical care (+0.9 percent m-o-m) were the major factors in the seasonally adjusted all-items monthly increase, outweighing a drop in the energy index (-1.9 percent m-o-m). The food index was unchanged for the third month in a row.

Meanwhile, the core CPI excluding volatile food and fuel costs increased 0.3 percent m-o-m in August, the same pace as in the previous month.

In the 12 months through August, the core CPI rose 2.4 percent after a 2.2 percent increase for the 12 months ending July. It was the largest increase since July 2018.

Economists had forecast the core CPI to rise 0.2 percent m-o-m and 2.3 percent y-o-y last month.