CONSUMER PRICE INCREASE IS SMALLER THAN EXPECTED

U. S. consumer prices rose a lowerthan- expected 0.3% last month, the smallest increase in seven months and a hopeful sign that a recent jump in inflation may be cooling. The August gain was weaker than the 0.5% increase in July and a 0.9% surge in June, the Labor Department reported Tuesday. It was the smallest increase since prices rose 0.3% in January. Over the past 12 months, prices are up 5.3%, down from two consecutive months averaging 5.4%, the strongest 12- month price gains since 2008.