Inflation rose less than expected in September, the U.S. belatedly reports

Maria Aspan

Scott Horsley

October 24, 2025 / 5:52 am

Annual inflation rose less than expected in September, according to a crucial report published Friday, nine days later than normal due to the government shutdown.

Consumer prices rose 3.0% in September from a year ago, slightly below forecasters' expectations, according to the U.S. Bureau of Labor Statistics (BLS). On a month-to-month basis, prices rose 0.3%, cooling slightly from the 0.4% inflation reported in August.

Overall, the inflation data will likely add fuel to expectations that the Federal Reserve to cut interest rates by another quarter percentage point at its policy meeting next week — its second consecutive cut.

Wells Fargo economist Nicole

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