US annual inflation rises to 3.7% in Sept; apparel prices up 3.4%



US consumer inflation accelerated in September 2026, with the Consumer Price Index for All Urban Consumers (CPI-U) rising 3.7 per cent year on year (YoY), compared with 3.4 per cent in August, according to data released by the US Bureau of Labor Statistics (BLS). Higher energy prices, particularly gasoline, were the principal drivers of inflation, while apparel prices also registered an increase.

On a seasonally adjusted basis, the CPI-U increased 0.6 per cent month on month (MoM) in September, accelerating from 0.4 per cent in August. The increase was largely driven by gasoline prices, which climbed 9.1 per cent and accounted for more than half of the overall monthly rise in consumer prices, the BLS said in a press release.

US annual consumer inflation accelerated to 3.7 per cent in September 2026 from 3.4 per cent in August, according to BLS data.
Monthly inflation rose 0.6 per cent, driven by a 9.1 per cent surge in gasoline prices.
Apparel prices increased 0.3 per cent monthly and 3.4 per cent annually, while core inflation reached 2.6 per cent year on year.

The apparel index increased 0.3 per cent MoM in September, following no change in August. On an annual basis, apparel prices rose 3.4 per cent, indicating continued price pressures in the clothing segment. The monthly increase followed gains of 0.1 per cent in July and 1 per cent in March, although apparel prices had declined by 0.6 per cent in June.

The energy index increased 5.2 per cent MoM in September, following a 2.1 per cent rise in August. Over the past 12 months, energy prices surged 20.4 per cent, led by a 34.2 per cent increase in gasoline prices. Fuel oil prices jumped 74.2 per cent YoY, while electricity and utility gas prices increased by 4.4 per cent and 5 per cent, respectively.

The index for household furnishings and operations remained unchanged in September, suggesting relatively stable prices in the broader home-related consumer goods category.

Core inflation, which excludes volatile food and energy prices, increased 0.3 per cent MoM in September, matching August’s rise. On an annual basis, the core CPI increased 2.6 per cent, compared with 2.4 per cent in August.

Food prices remained unchanged in September after rising 0.1 per cent in August. On an annual basis, overall food prices rose 2.5 per cent, with food-at-home and food-away-from-home prices increasing 1.8 per cent and 3.5 per cent, respectively.

The unadjusted CPI-U reached an index level of 336.940 in September, representing a 3.7 per cent annual increase. Meanwhile, the CPI for Urban Wage Earners and Clerical Workers (CPI-W) increased 3.9 per cent YoY, while the Chained CPI for All Urban Consumers (C-CPI-U) rose 3.5 per cent.

Fibre2Fashion News Desk (KD)



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