WASHINGTON - U.S. consumer prices increased only slightly in September as higher energy costs were offset by flat food prices. The figures are the latest evidence that slow economic growth is keeping inflation tame.
The Labor Department says the consumer price index rose a seasonally adjusted 0.2 per cent in September, up from 0.1 per cent in August. Higher gas, electricity and other energy costs rose 0.8 per cent, making up about half the overall increase.
In the past year, consumer prices have increased just 1.2 per cent. That's the smallest 12-month gain since April, and it's below the Federal Reserve's 2 per cent inflation target.
Excluding volatile food and energy costs, core prices rose just 0.1 per cent and are up 1.7 per cent in the past 12 months.
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