WASHINGTON, Nov. 13 (Xinhua) -- U.S. consumer inflation in October increased 2.6 percent from a year ago, after climbing 2.5 percent in August and 2.4 percent in September, the U.S. Labor Department reported Wednesday.
According to the report released by the Bureau of Labor Statistics, the Consumer Price Index (CPI) -- a broad measure of goods and services costs across the U.S. economy -- increased 0.2 percent on a seasonally adjusted basis in October, the same increase as in the previous three months.
The latest inflation report showed that the so-called core CPI, which excludes food and energy, increased 0.3 percent in October, as it did in August and September.
The core CPI has risen 3.3 percent over the last 12 months ending October, indicating continued inflation pressure. In August, the 12-month core inflation rate held at 3.2 percent.
The index for shelter rose 0.4 percent in October, accounting for over half of the monthly all items increase. The food index also increased over the month, rising 0.2 percent. The energy index was unchanged over the month after declining 1.9 percent in September.
Indexes that increased in October include shelter, used cars and trucks, airline fares, medical care, and recreation. The indexes for apparel, communication, and household furnishings and operations were among those that decreased over the month.
After its meeting held on Sept. 17 to 18, the U.S. Federal Reserve slashed the target range for the federal funds rate by 50 basis points to 4.75 percent to 5 percent amid cooling inflation and a weakening labor market. This marks the first rate cut in over four years and signals the start of an easing cycle.
On Thursday last week, it slashed interest rates by 25 basis points, marking the second rate cut in this easing cycle.
At a press conference after the Fed's two-day policy meeting, Fed Chair Jerome Powell noted that inflation has eased significantly over the past two years, but core inflation remains somewhat elevated.
The Fed chair acknowledged that despite the economy performing well, Americans still feel the effects of high prices. "It takes some years of real wage gains for people to feel better," he said. ■