US September inflation rose 3.7% on gasoline and energy costs

· Economy · United States

The US consumer price index rose 3.7% in the year to September, according to government data, with higher gasoline and energy prices largely due to the Iran war driving the increase. The reading was the final inflation report before the November 3 midterm elections, when cost of living is a top voter concern. The monthly increase was expected at 0.6% and the annual rate at 3.6%, so the figures came in above forecasts, adding to pressure on the Federal Reserve as it weighs interest-rate policy.

Why it matters：Above-forecast inflation in the world's largest economy influences Fed policy and global borrowing costs.

Key points

  • Gasoline and energy prices linked to the Iran war drove the rise.
  • The reading was the last before the November 3 midterms.
  • The monthly rise was expected at 0.6%, the annual rate at 3.6%.

Sources (original reporting)

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