In the United States, annual inflation accelerated to 3.7% in September as fuel prices resumed rising amid the war in Iran. The figure exceeded analysts’ forecast.
This was reported by the Financial Times, citing data from the US Bureau of Labor Statistics.
In August, annual inflation stood at 3.4%. The September data marked the first increase in this indicator since May.
Core inflation, which excludes volatile food and energy prices, also came in higher than Wall Street expected. In September, it rose to 2.6% from 2.4% a month earlier.
Rising prices are increasing pressure on American consumers a few weeks ahead of the midterm elections in November.
President Donald Trump is trying to contain the economic fallout from the war and bring down fuel prices. At the same time, Democrats are using voters’ dissatisfaction with the cost of living in their campaign.
The pressure is particularly acute for Americans on lower incomes. In September, average hourly pay rose by 3% compared with the same period last year. Real wage growth, that is, adjusted for inflation, has been falling for the sixth consecutive month.
“Inflation is simply not slowing quickly enough,” said AllianceBernstein’s chief economist, Eric Winograd.
He said Americans on lower incomes are increasingly losing purchasing power.
- Earlier, when asked by journalists to comment on the worsening situation with consumer prices, President Donald Trump said the figures were “wonderful”, and that he “loves inflation”.