Overview

• Official data show September CPI fell 0.3% year over year, a larger decline than the 0.2% drop economists expected.
• Producer prices decreased 2.3% from a year earlier, extending a prolonged deflation that has pressured manufacturers’ profitability.
• Core CPI rose 1.0% from a year earlier, the strongest pace since February 2024, according to Wind Information.
• Weak household spending and a prolonged housing downturn continue to weigh on domestic demand, according to the reporting.
• U.S. trade measures and tariffs are disrupting production and squeezing exports, adding further strain on factories.