U.S. inflation likely reached its lowest point since February 2021 last month, potentially clearing the way for another Federal Reserve rate cut.
The consumer price index is expected to have risen 2.3% in September compared to 12 months earlier, according to economists surveyed by FactSet. This marks a drop from August’s 2.5% increase.
The small increase is expected to reflect lower gas prices and a modest rise in food costs, keeping it close to the Fed’s 2% inflation target. Over two years ago, inflation had surged to a peak of 9.1%.
Month over month, consumer prices are estimated to have risen just 0.1% from August to September, a slight decrease from the 0.2% rise in the previous month.
The …