Inflation increased in September to the fastest pace since the start of the year, showing tariff pressure on prices continues to materialize gradually, according to the Bureau of Labor Statistics (BLS) latest report. …Meanwhile, shelter inflation remained unchanged from last month and continued its downward trend, though it remains higher than pre-pandemic levels. Though inflation is likely to remain elevated this year, the Fed is expected to continue easing given signs of labor market weakening. …During the past twelve months, on a non-seasonally adjusted basis, the Consumer Price Index (CPI) rose by 3.0% in September, the highest reading since January 2025. Excluding the volatile food and energy components, the “core” CPI increased by 3.0% over the past twelve months. A large portion of the “core” CPI is the housing shelter index, which increased 3.6% over the year, the lowest reading since October 2021.