High gas prices pushed up inflation in September, with the producer price index jumping 6.3% from a year earlier and consumer inflation reaching 3.7%, yet Americans kept spending. Retail sales rose a solid 0.8% from August, driven by a 6.4% jump at gas stations, while diesel averaged $6.32 a gallon versus $3.66 a year earlier. Economists say spending can hold up as long as unemployment stays low, though the rate ticked up to 4.2% and September hiring slowed to 29,000 jobs. Real weekly paychecks fell from a year earlier for the first time since May, and many economists worry that persistent inflation will erode spending power. Most Fed officials expect another rate increase this year, after the Fed raised its key rate by a quarter-point to about 3.9% in September, its first hike in three years.
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Original headline: US consumers are muscling through higher prices , but for how long ?
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Related tickers and likely impact
DXY
• NeutralRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/14/2026 | 102.52 |
| Change that session | +0.32% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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