Key Facts
• U.S. Department of Labor released September CPI data on October 24, 2025.
• CPI rose 3.0% year-on-year, up from August’s 2.9% increase.
• This marks the first 3% rise since January 2025.
• Core CPI (excluding energy and food) rose 3.0%, slowing from August’s 3.1%.
• Food prices increased by 3.1%, slightly lower than August’s 3.2%.
• Market expectations for CPI growth were slightly higher than the actual figure.
• Federal Reserve’s October meeting maintained rate cut expectations.
• Inflation remains persistent, while economic uncertainty impacts the labor market.
• September CPI release was delayed due to a partial government shutdown.
• Labor Statistics Bureau resumed operations to ensure accurate social security payments.
Summary
The U.S. Department of Labor reported a 3.0% year-on-year increase in the Consumer Price Index (CPI) for September 2025, slightly below market expectations. This marks the first 3% rise since January 2025, with food prices increasing by 3.1% and core CPI growth slowing to 3.0%. Despite persistent inflation, economic uncertainty and a cooling labor market remain concerns. The data release, initially delayed by a partial government shutdown, was prioritized to ensure accurate social security payments. The Federal Reserve’s October meeting maintained expectations for rate cuts.
