US consumers see a slight uptick in prices in September

Consumer prices increased moderately in September.

- TALMON JOSEPH SMITH

The Personal Consumption Expenditures price index, which is the Federal Reserve's preferred inflation gauge, showed a 0.3% monthly increase in prices.Compared with the same time last year, prices were up 2.8%, a slightly faster pace than in August, when the year-over-year rate was 2.7%. Both the monthly and annual readings for September were in line with analyst expectations.

Consumer spending, the lifeblood of the US economy in several ways, continued to hold up but was flat on an inflation-adjusted basis. Personal income increased $94.5 billion overall, registering a solid 0.4% monthly rate of growth.

The data is several months old because of the government shutdown, which prevented data collection. But the numbers will provide the Fed with more data to consider at its policy meeting this week.