The consumer price index fell as expected in September.
CPI fell 0.2% in September compared to the previous month, and was flat year-on-year.
But excluding food and energy, “core” CPI rose 0.2% month-on-month, and rose 1.9% year-on-year.
The energy and gasoline indexes fell sharply, while the indexes for food, and everything excluding food and energy, rose in September.
Owners’ equivalent rent rose 0.3%, and primary rents rose 0.4%, which Pantheon Macroeconomics’ Ian Shepherdson noted was the biggest increase since October 2007 and the big driver of core CPI.
Economists had estimated that the reading on inflation fell 0.2% month-on-month, and -0.1% year-on-year.
“Core” CPI was expected at 0.1% month-on-month, and 1.8% year-on-year, according to Bloomberg.