The continued rise in chronic and high-cost conditions remains a primary driver of escalating medical costs in the United States.

Most of the decline in services prices is attributable to a 3.9% drop in margins for machinery and vehicle wholesaling, while finished consumer goods excluding food and energy rose at the fastest pace since February.

The BLS adjustment indicates that the labor market slowdown in recent months followed an extended period of moderate job growth, which may lay the groundwork for a series of interest rate cuts beginning next week.

In August, hiring at U.S. companies was lower than forecast, consistent with other evidence that points to weaker demand for workers.