US consumer prices unchanged in October, lowest in 5 months

US consumer prices were unchanged in October, the lowest reading in five months and an indication that a price spike over the summer is beginning to fade as coronavirus cases begin to spread.

The Labour Department reported Thursday that the flat reading in October followed a gain of 0.2 per cent in September.

Core inflation, which excludes volatile food and energy costs, also showed no change in October, another indication that inflation remains well-behaved.

Over the past 12 months, overall inflation is up a moderate 1.2 per cent while core inflation is up 1.6 per cent.

Both readings are well below the Federal Reserve's 2 per cent target.

Used car prices, which had been surging, retreated slightly in October, dropping 0.1 per cent after a 6.7 per cent jump in September which had been the largest one-month gain in 51 years.