The Consumer Price Index (CPI) increased 1.4% on a year-over-year basis in October, following a 1.6% gain in September. The all-items excluding gasoline index rose 1.3% year over year in October, after increasing 1.1% in September.

Prices were up in seven of the eight major CPI components in the 12 months to October, with the transportation and shelter indexes contributing the most to the increase. The clothing and footwear index declined on a year-over-year basis.

Transportation prices rose 3.0% on a year-over-year basis in October, following a 3.8% increase in September. This deceleration was led by gasoline prices, which increased 6.5% year over year in October after increasing 14.1% the previous month in the aftermath of Hurricane Harvey. At the same time, the purchase of passenger vehicles index rose 1.5% month over month in October, providing the impetus for the largest year-over-year gain in this index since March 2017.