Consumer inflation in the United States accelerated to a five‑month high as energy prices surged. Bloomberg reports that the consumer price index rose 0.6% in September and stood at 3.7% year-on-year. The main catalyst was gasoline, which jumped 9.1%, while the used‑car segment also contributed with a 0.7% rise. A modest drop in food prices only slightly tempered the overall impact of the energy shock.
The faster pace of price growth is increasing financial pressure on American households ahead of the November midterm elections. Real wages have fallen for a sixth consecutive month, and consumer inflation expectations climbed from 4.0% to 4.6% in September. Business sentiment is even more pessimistic: company leaders forecast annual inflation at about 5.3%. Against this backdrop, traders and analysts warn of a high probability that the Federal Reserve will raise its policy rate again before year‑end.
Rising living costs are intensifying political tensions: roughly 78% of Americans blame the Trump administration’s policies for accelerating price growth. In an effort to stabilize the domestic fuel market and ease price pressures, the White House has pursued external agreements. On October 9, the president held talks with Russian leader Vladimir Putin, after which the two sides agreed on deliveries of diesel fuel from Russia to the US and global markets.