Consumer prices continued to climb in October as the pace of overall inflation held at the level hit a month earlier and underlying inflation excluding food and fuel slowed.
The Labor Department’s consumer price index rose by 0.4 percent compared with a month earlier. Compared with 12 months ago, the CPI is up 7.7 percent.
Core consumer prices, a key measure of inflation that excludes food and energy, rose 0.3 percent compared with September and are up 6.3 percent from a year earlier.
Economists had expected a 0.7 percent month-to-month rise in CPI. Prices were expected to be up 7.9 percent compared with a year ago. Core prices were seen as rising 0.5 percent for the month and 6.6 percent for the year.
Stock futures rallied after the October inflation figures were released. Prior to the release, the futures were indicating the Dow Jones Industrial Average was expected to…