Consumer Prices Rise to 3.6% Ahead of Midterm Elections

The cost of living continued to climb last month, with consumer prices rising faster than economists had projected. The Department of Commerce announced on Thursday that inflation accelerated in September, a development that lands less than one week before voters head to the polls for the midterms.

Headline inflation reached 3.6 percent year over year in September, up from 3.4 percent in August. On a monthly basis, prices increased by 0.5 percent. This represents the sharpest monthly gain since May and exceeds the 0.3 percent rise recorded in August.

Energy costs remain a primary driver of the price surge. The ongoing conflict in Iran has pushed oil prices higher, with U.S. crude trading above $100 per barrel. Before the war began, prices had dropped below $70 per barrel. The national average price for gasoline now stands at approximately $4.25 per gallon, a figure far above the sub-$2 target President Donald Trump promised during his 2024 campaign.

Inflation excluding volatile food and energy categories also rose. Core inflation increased to 3.1 percent on an annual basis in September, compared to 3.0 percent in August. Month-over-month, these underlying prices rose by 0.3 percent, matching the pace seen in the previous month.

Polls indicate that the rise in costs has negatively impacted public opinion of the economy and the administration's handling of prices. Economic concerns have become a central theme in the upcoming elections, with voters citing the high cost of goods as a top priority.