Economists see the core gauge as a better indicator of underlying inflation than the overall CPI. That measure rose 0.2% from the prior month, boosted by housing and food, which accounted for over 75% of the advance. Goods prices rose as well after reliably falling over the past year.
Underlying US inflation rose more than forecast in September, representing a pause in the recent progress toward moderating price pressures.
The so-called core consumer price index — which excludes food and energy costs — increased 0.3% for a second month, disrupting a string of lower readings, Bureau of Labor Statistics figures showed Thursday. The three-month annualized rate advanced 3.1%, the most since May, according to Bloomberg calculations.
