U.S. consumer prices rose in line with expectations during August as energy costs eased up after the midsummer surge.

The consumer-price index rose 0.2% last month, the U.S. Labor Department reported today, following a 0.4% increase in July. Excluding food and energy costs, prices rose a seasonally adjusted 0.2% for the second month in a row.

Both inflation readings came in as expected.

In annual terms, consumer prices were 3.8% higher than a year earlier, on an unadjusted basis. Core prices rose 2.8% in the 12 months ending in August.

Energy prices rose just 0.3% in August, following a 2.9% jump a month earlier. Gasoline prices climbed by a seasonally adjusted 0.2%. Natural gas increased 0.7%. Electricity prices dipped 0.1%. Food prices increased 0.4%.

The transportation index was only 0.2% higher, as gas prices fell and new vehicle prices dipped 0.1%. Transportation costs in July rose 1.6%. Medical-care prices increased 0.4%.

Housing, which accounts for 40% of the index, rose by 0.2%, after climbing 0.3% in July. Rent climbed 0.4% and owners’ equivalent rent rose 0.3%. Clothing prices increased 0.9%, while education and communication rose 0.3%.

Meanwhile U.S. industrial production slipped for the first time since January as utilities generation fell following a return to normal temperatures.

Industrial production fell 0.1% in August, following an unrevised 0.4% increase in July, the Federal Reserve said today. Industrial capacity utilization fell 0.3 percentage point to 82.4%, following the prior month’s revised 82.7% reading. Still, August utilization remained above the 1972-2005 average.

Economists had expected industrial production to increase 0.3% last month and for capacity utilization to rise to 82.5%,

In a third economic report released Friday, the Labor Department said the average weekly earnings of U.S. workers, adjusted for inflation, decreased 0.5% in August. Average hourly earnings inched up 0.1%. Average weekly hours fell 0.3%.