On Wednesday, the Labor Department of the US said its consumer price index (CPI) had rose 0.2%. The CPI had increased 0.1% the month before. The US economy saw the smallest gain since April, seeing the CPI climbing at 1.2% in the past 12 months through September. Reuters rounded up economists' consensus who said the consumer price increase was expected.
The rise in consumer prices had not bumped the inflation rate, keeping the financial environment steady that the US Federal Reserve had used this as one of the indications to continue with its USD85 billion monthly bond-purchasing program. The decision was made after a two-day meeting was concluded on Wednesday this week.
The Core CPI, which was stripped of energy and food components, increased 0.1%. This was the second consecutive month it rose the same margin. Energy prices dove 0.3% in August. In September, food prices remained as is, the weakest record seen since May. Primary residence rent climbed 0.2%, which was a decrease from August's reading.
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