U.S. CPI rose 0.5%, with the core rate up 0.1% in September
U.S. CPI rose 0.5%, with the core rate up 0.1% in September. not as hot as feared after the PPI jump yesterday. August gains of 0.4% overall and 0.2% on the core were not revised. Compared to last year, the headline number rose to a 2.2% y/y pace, versus 1.9% y/y previously, while the ex-food and energy component was steady at 1.7% y/y. The components showed energy led the uptick, climbing 6.1% after the prior 2.8% gain. Transportation increased 2.8%, while commodities were up 1.1%. Aside from those, gains were more modest. Food prices increased 0.1%. Housing costs edged up 0.2%, as did the owner equivalent rent measure. Medical care and apparel prices each fell 0.1%. Data should give Treasuries a boost.