CPI Rises 0.6% in October

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onsumer prices in the United States rose 0.6% in October, the largest gain since May, the Labor Department said Wednesday.

October's increase followed a 0.2% jump the month before and analysts said it was a sign the economy could be growing at a pace that threatens to drive up inflation, Bloomberg reported. The core index, which excludes food and energy, gained 0.2% in October after rising 0.3%.

The CPI is the government's broadest gauge of costs for goods and services. Almost 60% of the CPI covers prices consumers pay for services. If consumer prices are rising, it could reflect an uptick in demand for consumer goods, which increases the demand for trucking services.

Labor said food prices, which account for about a fifth of the index, rose 0.6% in October, It was led by the biggest gain in prices for fruits since June 1984 and the biggest for vegetables since February 1997, which CNBC said could be related to the recent hurricanes.

Energy prices jumped 4.2% in October, the most since May, after falling 0.4%. Price also increased for clothing and new vehicles, Labor said.

Through October, consumer prices are rising at a 3.9% annual rate compared with a 2.2% rate at the same time last year.

Consumer prices for all goods and services were up 3.2% for the 12 months that ended in October, compared with a 3% year-over-year gain the previous month, Labor said.

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