US inflation rate inches lower amid a drop in oil prices

The US Consumer Price Index (CPI) rose 0.4% in October on a seasonally adjusted basis after rising 0.6% in the previous month, according to the US Bureau of Labor Statistics (BLS).

IMAGE: Getty Images

Brent crude was already trading lower when the latest inflation data was released, amid some hope of de-escalation in the Middle East hostilities.

High oil prices tend to push headline inflation higher, at least in the short term.

Following the latest data, “crude was busy pointing toward a potentially less hostile inflation environment further down the road,” according to SPI Asset Management managing partner Stephen Innes.

The BLS did not publish a year-on-year CPI figure for October as it “did not collect survey data for October 2025 because of a lapse in appropriations.”

“The unusual feature of October’s CPI release is the absence of the normal twelve-month inflation comparison,” Innes added.

The US Federal Reserve remains focused on bringing annual inflation down to its 2% target.

By Aparupa Mazumder

Please get in touch with comments or additional info to news@engine.online