Core CPI dropped to 2.5% year-over-year, giving the Federal Reserve a slightly cleaner path toward its 2% target. On a year-over-year basis, core inflation came in at 2.5%, down from 2.6% in June. Core inflation at 2.5% is close to that target, but shelter costs remain elevated. The gap between 2.5% core and 2.0% target remains. A 1.5% drop in energy costs, if sustained, slightly improves the economics of proof-of-work mining operations that are highly sensitive to electricity prices.