Inflation Rate Declines to 2.4% in September

The Bureau of Labor Statistics reported a 2.4% annual increase in the Consumer Price Index (CPI) for September 2024, a slight decrease from 2.5% in August, indicating a cooling in inflation. While gasoline prices fell significantly, leading to overall price relief, some categories like auto insurance and groceries saw notable increases. The 2.5% Social Security Cost of Living Adjustment (COLA) for 2025 was also announced, aimed at helping beneficiaries cope with inflation. Economists suggest that the slight uptick in certain categories might be temporary and that overall inflation trends remain positive. Meanwhile, the Federal Reserve has shifted to cutting interest rates to support the labor market amid ongoing inflation concerns. Investors are advised to monitor energy stocks closely due to potential oil price fluctuations stemming from geopolitical tensions in the Middle East.