U.S. Inflation Edges Up to 2.6% in October, Pressures Remain
The United States inflation rate ticked up to 2.6% in October, according to data from the Bureau of Labor Statistics released today. This 20-basis-point increase from September’s 2.4% aligns with economists’ expectations and reflects ongoing price pressures despite recent Federal Reserve interest rate cuts.
The consumer price index (CPI), which measures inflation across a range of goods and services, rose 0.2% from the previous month, bringing the annual rate to 2.6%—a slight rise after what had been the slowest pace in over three years in September. Excluding volatile food and energy costs, the “core” inflation rate remained steady at 3.3%, also meeting predictions.
Despite inflation easing considerably from its peak in 2022, the slight uptick signals the Federal Reserve’s goal of reaching a 2% inflation target could face further hurdles. “Some goods and services, particularly housing and insurance, continue to see significant price growth,” which strains consumer budgets, economists noted.
The latest data underscore the challenging path to taming inflation as core costs remain elevated, adding pressure to the Fed’s ongoing efforts to stabilise the economy. Nigeria Eyes S10bn Private Investment for Power Sector
