Consumer Prices Edge Up as Home Costs Fall

Washington, DC, Oct. 15, 2009--Consumer prices drifted higher in September,led by higher prices for cars, energy and medical care that offset the first declines ever recorded in residential rents and home-ownership costs, the Labor Department reported Thursday.

The consumer price index rose a seasonally adjusted 0.2% in September. The core CPI -- which excludes volatile food and energy prices -- also increased 0.2% in September on a seasonally adjusted basis.

The increases were a tenth of a percentage point higher than expected by economists.

In the past year, the CPI has fallen 1.3%, while the core rate has risen 1.5%. Prices for food fell 0.2% in the past year, the first decline in more than 40 years.