Inflation Slowed Faster Than Expected in October. Does That Mean Rate Hikes are Over? Article originally posted on AZ Central on November 14, 2023 After rising and then moving sideways in recent months, inflation emphatically resumed its descent in October. Consumer price increases eased more than expected as falling gasoline and used car prices offset another rise in rent and a rebound in health insurance costs. An underlying measure of price increases that the Federal Reserve watches more closely stayed elevated but also pulled back, bolstering the case for the Fed to continue to hold rates steady after a flurry of aggressive hikes. Consumer prices overall rose 3.2% from a year earlier, down from 3.7% in September, according to the Labor Department’s consumer price index. That pulled inflation closer to the more than two-year low it reached in June and July, before a surge in gasoline prices. On a monthly basis, prices were unchanged following a 0.4% rise the previous month.