Stubborn inflation raises prospect of Fed rate hike

Stubbornly elevated inflation figures, released on Friday, have increased the likelihood that the Federal Reserve will raise interest rates next week. Annual inflation for August remained unchanged, staying well above the central bank's target rate of two percent.

The persistent inflation is occurring amid the ongoing war with Iran, contributing to the economic pressure on the central bank. These conditions have driven up market and economic expectations that the Fed will implement a rate hike during its upcoming meeting.