In the US, increases in consumer prices accelerated again in September. The annual inflation rate rose from 5.3 percent in the previous month to 5.4 percent, the Washington Department of Labor announced on Wednesday. Economists had been expecting a flat rate, unchanged on average. With the rise, US inflation returned to its summer months level in June and July, when the rate reached its highest level since 2008.
In the world’s largest economy, inflation remains well above the US Federal Reserve’s inflation target of 2%. However, the Fed mainly blames temporary factors for the rate hike. In particular, inflation is driving up energy prices. Here the department reported an annual increase of nearly 25 percent for the month of September.
The rate also increased more than expected compared to the previous month
Compared to the previous month, consumer prices rose 0.4 percent in September, which is also stronger than expected. Economists expected only 0.3 percent.
Core inflation, excluding often volatile components, such as energy and food, was 4.0 percent compared to the same month last year. Economists expected this. (dpa-AFX)
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