Despite Falling, US Inflation Remains at 8.2% in September 2022

The Bureau of Labor Statistics (BLS) reported that the U.S. all-urban Consumer Price Index (CPI) increased by 0.4% in September 2022 compared to the previous month (month-on-month/mom).

This U.S. inflation figure exceeded analysts' expectations. Reuters' surveyed analysts predicted inflation of only 0.2% (m-o-m).

Annually, however, U.S. inflation remained high at 8.2% in September 2022 (year-on-year/yoy), although lower than the previous month's 8.3% (yoy). This marks the third consecutive monthly decline since July 2022.

Food prices in the U.S. rose by 0.8% (mom) in September 2022, with a breakdown of 0.7% (mom) for food at home and 0.9% (mom) for food away from home.

Annually, U.S. food inflation reached 11.2% (yoy) last month. This breaks down to 13% (yoy) for food at home and 8.5% (yoy) for food away from home.

Conversely, U.S. energy inflation fell by 2.1% (mom) in September 2022. Energy commodities decreased by 4.7% (mom), while energy services still saw inflation of 1.1% (mom).

Annually, U.S. energy inflation was recorded at 19.8% (yoy), with energy commodities at 19.7% (yoy) and energy services at 19.8% (yoy).

As is known, in September 2022, the U.S. central bank (Federal Reserve/The Fed) again raised its benchmark interest rate by 75 basis points (bps) to a range of 3.0-3.25%.

With inflation remaining high last month, the Fed may raise its benchmark interest rate again in the future, as the current inflation rate of 8.2% (yoy) is still far from its target of 2% (yoy).