FX.co ★ US Inflation Comes in Lower Than Expected

In September 2025, the annual inflation rate in the United States reached 3%, marking its highest level since January. This was a slight increase from August's 2.9% and came in just below the predicted 3.1%. Energy prices saw a significant annual rise of 2.8%, the sharpest since May 2024, after a modest 0.2% rise in August. Fuel oil prices surged by 4.1% compared to a previous decline of 0.5%, and gasoline prices narrowed their drop to -0.5% from -6.6%, although the price increase for natural gas was less pronounced at 11.7% compared to 13.8%. Prices for new vehicles inched up by 0.8%, a slight growth from 0.7%. Conversely, there was a deceleration in the price increases for food (3.1% from 3.2%), used cars and trucks (5.1% from 6%), and transportation services (2.5% from 3.5%). Inflation in shelter remained steady at 3.6%. Meanwhile, annual core inflation reduced to 3% from 3.1%, contrary to market expectations of it holding steady at 3.1%. On a month-to-month basis, the Consumer Price Index (CPI) increased by 0.3%, falling short of both the 0.4% rise in August and the projected 0.4%. The gasoline index, which rose by 4.1%, was the primary driver of the monthly increase in overall items, while the core index increased by just 0.2%, lower than both the prior month's 0.3% rise and the anticipated 0.3%.