EmailThe CPI index increased 0.1% in October, down from a 0.6% gain in September, and exactly in-line with the Briefing.com consensus expectation. As foreshadowed by falling crude prices and a lower PPI, consumer energy prices fell 0.2% after increasing 4.5% in September.
The pullback was due to a 0.6% drop in gasoline prices. Surprisingly, the drop in crude prices had no effect on fuel oil as those prices increased 1.1%. Food prices rose 0.2% in October. Excluding food and energy, core CPI rose 0.2% in October after increasing 0.1% per month from July through September. The consensus expected core CPI to increase 0.1%. A large increase in rental prices (+0.4%) was primarily responsible for the increase in core costs. Apparel (+0.7%) and transportation services (+0.7%) also contributed to the slight acceleration in core prices.
