Because of the shutdown, and because the Bureau of Labor Statistics has goofy methods for computing important items, like housing and medical care, I am very distrustful of the accuracy of these numbers for the average consumer. There is an index called Truflation that you can find that looks a lot more accurate to me. In any event, this month’s CPI number is even goofier than usual because the shutdown last year prevented the gathering of some prices in October 2025. The headline number was .4% month over month. Year-over-year means nothing due to that loss of data a year ago. But headline inflation has been above the supposed target of 2% annually for some time.
Core CPI, which as I always say, strips out most of what consumers care about, rose a smaller .3%. Shelter, food and gas accounted for much of the increase, which was higher than expected and leads most analysts to believe that the Federal Reserve will raise interest rates again at its next meeting, which will only contribute more to inflation, given the amount of debt most Americans carry. One item that always amuses me and I believe is significantly understated in medical care and medical insurance, which are rising at far higher rates than BLS calculates. (BLS Release)
It may be the CPI will relent in coming months as oil prices retreat. And I am sure that the Dems in Congress have all kinds of good ideas about how to make life more “affordable” for Americans.
