The new figures arrive following the Republicans’ midterm defeats, which many interpreted as a rebuke of the party over elevated prices.
U.S. inflation number from the consumer price index (CPI) because data for October 2025 was not gathered during the government shutdown.
Nevertheless, the latest figures indicate that prices continue to rise at a moderate rate. Analysts project that, by interpolating the missing October 2025 data, the headline inflation rate for October 2026 would have been about 3.9%, the highest level since May 2026 when inflation peaked at 4.2%, a three‑year high.
Elevated energy costs linked to the conflict in Iran have been the primary driver of the inflation surge. Energy prices edged up again in October, increasing 0.7% after a 5.2% jump in September. For comparison, the CPI’s month‑to‑month change in September versus August was 0.6%.
These figures arrive after a midterm election that handed Democrats control of Congress, an outcome many viewed as a rebuke of Republicans over soaring prices. In their post‑election analysis, Republicans such as JD Vance have cited voter anger over rising gasoline costs as a key factor in the party’s poor performance.
Gasoline prices eased modestly in October, falling from an average of $4.41 per gallon at the start of the month to $4.22 per gallon, though they remain more than $1 above the level a year earlier, according to the data. Consumer sentiment rose slightly at the end of October as fuel costs softened, the University of Michigan reported.
