US Consumer Prices Rise in September, Year-Over-Year Rate Up

08:51 AM EDT, 10/24/2025 (MT Newswires) -- The US seasonally adjusted consumer price index, a measure of inflation, rose by 0.3% in September, below expectations for a 0.4% gain in a survey compiled by Bloomberg as of 7:30 am ET and following a 0.4% increase in August, according to data released Friday by the Bureau of Labor Statistics.

Core CPI, which excludes food and energy prices, rose by 0.2%, smaller than the consensus estimate for a 0.3% increase after a 0.3% gain in August.

Food prices increased by 0.2%, while energy prices were up 1.5%. Gasoline prices were up 4.1%.

Owners' equivalent rents increased by 0.1%, while regular rents increased by 0.2%. There were also notable gains in apparel, new vehicles, medical care services and transportation services but declines in used vehicles and medical care commodities .

CPI excluding food, energy and shelter increased by 0.2% after a 0.3% gain in the previous month.

The year-over-year rates for overall CPI accelerated to 3% from 2.9% in August, but the rate for core CPI slowed to 3% from 3.1% in the previous month. The year-over-year rate for CPI excluding food, shelter and energy services slowed to 2.6% from 2.7% in the previous month.

The monthly consumer price index, or CPI, reported by the Bureau of Labor Statistics, measures the index level of prices paid by consumers for a basket of goods and services such as food, energy, vehicle, medical care, apparel, and housing.

The core measure, which excludes food and energy due to their volatility, is closely watched by markets and the Federal Reserve as a sign of underlying inflation pressures.

Rising inflation is a sign of strong US consumer demand, but both stocks and bond normally react negatively to level of price growth that would necessitate higher interest rates.

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