A measure of inflation came in softer than expected and US labor costs rose by 1% in the second quarter, The Hill reported. The Fed is watching these measures as it weighs interest rate hikes. “People are getting hired, many people are going back to work, getting wages, spending money, and that’s really what’s driving the economy, but that is gradually slowing,” Federal Reserve Board Chairman Jerome Powell said Wednesday, The Hill reported. “That’s a good prescription for getting where we want to get.” The Fed had just raised interest rates on Wednesday to their highest in 22 years.