US PPI Cools More Than Expected, Easing Pressure on Fed

US wholesale inflation decelerated in July by more than estimated as energy and food costs fell, likely giving the Federal Reserve more time to assess price pressures at upcoming meetings. Initial jobless claims rose by 9,000 in the week ending August 9. Bloomberg's Michael McKee reports. (Source: Bloomberg)

The drop suggested the Fed and its new chairman Kevin Warsh (pictured) will keep US interest rates in the range of 3.5% to 3.75% next month.