September’s consumer price index showed annual inflation at 3.7%, the U.S. Bureau of Labor Statistics said in an Oct. 14 report. That was higher than August’s 3.4% and marked the steepest reading since May, when the rate was 4.2%, according to Stateline.
Energy costs accounted for much of the increase. Gasoline prices have climbed 34% over the year, while fuel oil, a category that includes diesel, has jumped 72% amid an Iran war, according to the source. The story was distributed by Stateline, part of States Newsroom, which includes the Ohio Capital Journal.
State officials have responded with tax relief. Georgia, Kentucky, Illinois, Indiana, North Carolina, Ohio and Utah have recently adopted gas tax measures, Stateline reported. North Carolina alone expects to forgo more than $362 million in tax revenue this fiscal year because of a gas tax holiday. New York estimates fuel oil costs are 67% higher than last year, with home heating oil at $6.21 per gallon this month, and Connecticut announced additional home heating assistance on Oct. 13.
Food purchased away from home was the next-largest price factor, rising 3.5%. Medical care products fell 3.3%, while used cars and trucks were down 1.5% for the year. Core inflation, which excludes food and energy, was 2.6%.
Heather Long, chief economist for Navy Federal, said in a social media post that inflation has erased six months of wage gains and that many households remain behind despite working more hours. The report was the final CPI release before the midterm elections, Stateline noted.