U.S. Monthly CPI Jumps While Germany's Annual Inflation Slows

Overview

• U.S. consumer prices rose 0.4% in October and core CPI, which excludes food and energy, increased 0.3% on the month signaling underlying inflation remained firmer than forecasts.
• Energy costs in the United States climbed 0.7% and food prices rose 0.4% in October, with those volatile categories contributing materially to the headline rise.
• The U.S. Department of Labor said a budget-related data gap from October 2025 prevents calculation of year-on-year changes for many series in October 2026, complicating annual comparisons.
• Germany's annual inflation eased to 2.8% in October and monthly CPI fell 0.2% after a temporary fuel-price discount took effect, though EU-harmonized inflation remains above the European Central Bank's 2% goal.
• The mixed readings matter for policy and households because higher U.S. core inflation could keep pressure on the Federal Reserve while Germany's fuel relief may have only temporary benefit for consumers and energy inflation trends will be watched closely.