Inflation eased slightly in October, with the Consumer Price Index rising 0.4%, compared with a 0.6% increase in September, according to the Bureau of Labor Statistics.
Food, housing and energy costs continued to rise, with grocery prices increasing 0.4%, shelter costs climbing 0.3% and energy prices advancing 0.7%.
Gasoline prices remained a major source of inflation, rising 1% in October and 37.4% over the past 12 months, while used vehicle prices provided some relief.
Inflation slowed in October, but American consumers continued to face rising prices for many everyday necessities, according to the latest Consumer Price Index (CPI) report from the U.S. Bureau of Labor Statistics.
The CPI increased 0.4% on a seasonally adjusted basis in October, following a 0.6% increase in September. While the slowdown suggests some moderation in price pressures, the report shows that inflation remains a significant challenge for household budgets.
Prices for food, housing, electricity and medical care all increased during the month, adding to the financial strain on consumers who have already absorbed years of higher living costs.
The report also showed that core inflation, which excludes the often-volatile food and energy categories, increased 0.3% for the third consecutive month.
That persistent increase suggests inflationary pressures are not confined to gasoline and groceries but are also affecting a broad range of goods and services.
Grocery prices resume their climb
Food prices were among the most noticeable increases in October, particularly for consumers shopping at supermarkets.
The overall food index rose 0.5% after remaining unchanged in September. Grocery prices increased 0.4%, reversing a slight decline the previous month.
Several common grocery categories registered increases. Beef prices rose 0.9%, while the broader category covering meats, poultry, fish and eggs increased 0.5%. Prices for fruits and vegetables climbed 0.6%, as did dairy products.
Snack prices increased 1%, contributing to a 0.7% increase in the broader category of other food consumed at home.
There were a few exceptions. Nonalcoholic beverage prices declined 0.3%, while prices for cereals and bakery products remained unchanged.
Consumers also paid more to eat at restaurants. The index for food away from home increased 0.5%, including a 0.7% increase at full-service restaurants and a 0.4% rise at limited-service establishments.
For households trying to control spending by preparing more meals at home, the latest report offers little relief.
Energy prices rise again, but at a slower pace
Energy costs continued to climb in October, although the increase was considerably smaller than in September.
The overall energy index rose 0.7%, following a sharp 5.2% increase the previous month.
Gasoline prices increased 1% on a seasonally adjusted basis, compared with a 9.1% jump in September.
The report showed gasoline prices were 37.4% higher than a year earlier, making fuel one of the most significant sources of pressure on household budgets.
However, gasoline prices actually declined 0.7% during October before seasonal adjustment, illustrating the difference between the prices consumers experienced and the seasonally adjusted figures used to track inflation trends.
Electricity prices rose 0.9%, potentially adding to household utility bills. Fuel oil prices increased 2%, while natural gas service prices declined 0.8%.
Housing and medical costs continue to increase
Housing remained another major contributor to inflation. The shelter index rose 0.3% in October, accounting for more than 30% of the overall monthly increase in consumer prices.
Rent increased 0.2%, while owners' equivalent rent, a measure of what homeowners would theoretically pay to rent their homes, rose 0.3%.
Hotel and motel prices also increased, with the lodging away from home index rising 0.6%.
Medical care costs added to the pressure. The medical care index increased 0.3%, compared with a 0.1% increase in September.
Hospital services prices climbed 0.8%, physicians' services increased 0.4%, and prescription drug prices rose 0.3%.
Other categories posting increases included recreation, up 0.8%; motor vehicle insurance, up 0.7%; and education, up 0.3%.
Some relief for used car buyers
Not every category became more expensive in October. Used car and truck prices declined 1.2%, reversing a 0.7% increase in September. Used vehicle prices were also 3.3% lower than a year earlier.
New vehicle prices, however, increased 0.2% during the month and were 0.7% higher than a year earlier.
The communication index also declined slightly, falling 0.1%.
These decreases provided some offset to rising prices elsewhere, although they were not enough to prevent the overall CPI from increasing.
A missing inflation number
One unusual feature of the October report is the absence of an overall annual inflation rate.
The Bureau of Labor Statistics said it was unable to calculate most 12-month price changes because the federal government did not collect survey data in October 2025 during a lapse in appropriations.
Without those figures, the agency cannot publish the usual year-over-year comparisons for many categories, including the overall CPI and core inflation. That makes it more difficult to assess how October's inflation compares with the same period last year.
Some categories, including gasoline, new vehicles and used vehicles, still have annual comparisons available.
What it means for consumers
October's inflation report presents a mixed picture.
The slowdown in the monthly CPI increase, from 0.6% to 0.4%, is encouraging. However, prices are still rising, and many of the largest increases are occurring in categories consumers have limited ability to avoid.
Food, housing, utilities and medical care are essential expenses, meaning households may have to cut back on discretionary purchases to absorb the higher costs.
The report also underscores an important distinction: slower inflation does not mean prices are falling. It means prices are increasing at a slower pace.