Inflation Rose 0.3% in September

The cost of living in the U.S. rose at the fastest pace in five months on energy and shelter prices, a sign inflation is getting closer to the Federal Reserve’s goal.

The consumer-price index increased 0.3 percent in September from the previous month, matching the median forecast of economists, after a 0.2 percent gain in August, a Labor Department report showed Tuesday. The year-on-year rise was 1.5 percent, the most since October 2014. Excluding volatile food and fuel costs, prices were up 0.1 percent.

Prices have shown a gradual pickup as housing costs continue to climb and the drop in energy prices abates. The data, along with a still-strong labor market, may keep policy makers on course for a quarter-point interest-rate increase in December after holding off on hikes so far this year.

via Bloomberg

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza