The US inflation rate rises to 3.7% in September, driven by gasoline prices, according to a statement released by the Bureau of Labor Statistics (BLS) on Wednesday, October 14. This is the highest annual rate since May 2026 and is up from 3.4% for the 12 months ending in August. On a monthly basis, the Consumer Price Index increased 0.6%, following a 0.4% rise in August, according to the BLS report on US inflation.
Core US inflation, which excludes food and energy, rose 0.3% in September, the same as in August. Over 12 months, it reached 2.6%, compared with 2.4% in August.
Food prices were unchanged in September (0.0%). Grocery prices fell 0.1% for the month, while restaurant prices increased 0.2%. Within grocery stores, beef prices fell 1.0% and milk prices dropped 2.0%.
Over 12 months, food prices are up 2.5%, with grocery prices up 1.8% and restaurant prices up 3.5%. Fruits and vegetables are up 3.7%, and non-alcoholic beverages are up 3.8%, while dairy products are down 0.7%.
According to the Energy Information Administration (EIA), the national average price of a gallon of regular gasoline was $4.331 on October 12. That is 2.3 cents less than the previous week and $1.270 more than a year earlier.
Meanwhile, the Federal Reserve's calendar shows that its next monetary policy meeting is scheduled for October 27 and 28, 2026.
