While August CPI inflation was 8.3% Y-o-Y, down from 8.5% in July and 9.1% in June, it was disappointing; 8.1% is what was expected. More concerning, core inflation, which removes food and energy prices to get a fix on domestic inflationary pressures increased from 5.9% in June and July to 6.3%, and M-o-M jumped from 0.3% in July to 0.6%, suggesting inflationary pressures strengthened! The Fed will keep hiking aggressively.