Core inflation in the U.S. hit a more than five-year low in July, easing the Federal Reserve's interest rate hike concerns temporarily. However, the rising oil prices and shrinking wages are brewing the next storm?

According to the Zhitong Finance APP, data released by the U.S. Department of Labor on Wednesday showed that the Consumer Price Index (CPI) for July performed moderately overall, with the core inflation rate falling to the lowest level in over five years, which somewhat alleviates the urgency for the Federal Reserve to raise interest rates at the September meeting. However, it is worth noting that the wage data released during the same period indicated that laborers' actual purchasing power continues to decline, compounded by repeated geopolitical conflicts in the Middle East driving up energy prices, leaving the outlook for U.S. inflation still full of uncertainties.