Consumer prices increased 2.5% in August compared the to the same time last year and 0.2% from the previous month, the Bureau of Labor Statistics reported Thursday. 

The annual rate in July was 2.9%, with the slowdown in inflation expected to further increase the likelihood the Federal Reserve will cut interest rates next week.

The 2.5% rate is the lowest since February 2021.

August's number were in line with Wall Street expectations, according to CNBC.com.