Fed’s preferred inflation measure changed little in September

People shop during Black Friday at American Dream Mall in East Rutherford, N.J. U.S. consumer prices rose 2.8% year-over-year in September.

The Federal Reserve’s preferred measure of inflation slowed a bit in September, likely easing the way to a widely expected interest rate cut by the central bank next week.

Prices rose 0.3 per cent in September from August, the Commerce Department said Friday, the same as the previous month. Excluding the volatile food and energy categories, core prices rose 0.2 per cent in September from August, the same as the previous month and a pace that if it continued for a year would bring inflation closer to the Fed’s 2-per-cent target.

Compared with a year ago, overall prices rose 2.8 per cent, up slightly from 2.7 per cent in August. Core prices also rose