Key takeaways

• Gas prices jumped 9.1% in September, accounting for more than half of the monthly inflation increase.
• Airfare climbed again, with ticket prices now 22.4% higher than last September.
• Grocery prices edged lower as beef, milk, and other dairy products became less expensive.

Inflation accelerated in September after easing over the summer, as a sharp increase in energy prices pushed consumer costs higher.¹

The Consumer Price Index (CPI) rose 0.6% for the month, bringing annual inflation to 3.7%, up from 3.4% in August, according to the U.S. Bureau of Labor Statistics.²

Gasoline prices jumped 9.1% in September, accounting for more than half of the monthly increase. Those moves are being felt elsewhere in the consumer economy; airfare prices rose 1.2% for the month despite the end of the busy summer travel season.³

Other costs also rose. Excluding more volatile energy and food prices, core inflation rose 0.3% for September 2026 and is up 2.6% annually.⁴ 

Here's a closer look at some of the biggest consumer price changes in September.⁵

Travel costs climb as holidays near

After offering some relief earlier this summer, gasoline prices have reversed course. Prices jumped 9.1% in September following a 3.9% increase in August, leaving gas 34.2% more expensive than a year ago.⁶

The increase comes amid continued oil disruptions tied to the conflict involving Iran.⁷ Overall energy prices rose 5.2% in September and are now 20.4% higher annually.⁸

The picture was mixed for home energy expenses. Fuel oil prices rose 15.3% during the month and have climbed 74.2% over the past 12 months. Electricity increased modestly 0.2% in September, while utility gas service declined 0.3%.⁹

Travelers are seeing higher costs with the busy holiday travel season just around the corner. After several months of consecutive increases, airline ticket prices are now 22.4% higher than a year ago.¹⁰ 

Hotels and other lodging away from home also became more expensive, with prices rising 2% in September after a 2.4% increase in August.¹¹

Groceries ease; dining out costs more

A bright spot has been grocery costs, which are running at 1.8% year over year, below the overall inflation rate. Food-at-home prices dipped another 0.1% in September.¹² 

Meat prices move lower: Beef prices fell 1% in September, helping bring the broader meats, poultry, fish, and eggs category down 0.5% for the month. Beef roasts saw the largest decline, down 3.8% for the month.¹³

Dairy offers relief: Milk prices dropped 2% in September, while dairy and related products declined 0.9%. Overall dairy prices are now 0.7% lower than a year ago.¹⁴

Produce and beverages cost more: Fruits and vegetables rose 0.5% for the month. Nonalcoholic beverages increased 0.9%, including a 1.5% jump in carbonated drinks.¹⁵

Dining out continues to outpace grocery inflation. Restaurant and takeout prices rose 0.2% in September and have increased 3.5% over the past 12 months.¹⁶

Full-service restaurant meals climbed 0.3% in September and 3.8% annually, while limited-service meals rose 0.2% for the month and 3.2% over the past year.¹⁷

Housing and everyday expenses

Beyond the gas station and grocery store, consumers faced higher costs across several other spending categories in September. Housing-related costs such as rent are up 3.2% annually after a 0.4% rise in September.¹⁸

Education expenses also moved higher as the new school year began. Tuition, fees, and childcare costs rose 0.6% in September and are up 3.8% annually. Sporting goods prices are up 0.4% monthly and 4.7% annually, while toys are 5.9% more expensive than a year ago.¹⁹  

Prices for computers, peripherals, and smart-home assistants are 9.7% higher than a year ago. Computer software and accessories have climbed an even steeper 28.4% over the past 12 months, including a 0.4% increase in September.²⁰  

Car shoppers saw prices rise as well. Used cars and trucks increased 0.7% in September, though prices remain 1.5% lower than a year ago. New cars and trucks edged up 0.2% for the month and are up 0.6% annually.²¹

Healthcare costs were mixed. Overall medical care and services from doctors, dentists and other professionals have increased 2.5% annually, less than overall inflation. Hospital care and services are up 5.4% yearly. But prescription drug prices have fallen 4.5% in the past year, including a 1.2% drop in September.²²