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Americans stomached higher grocery prices ahead of the Thanksgiving holiday. October's headline inflation data came in hotter than expected, driven by some key fixings for the holiday meal. The Consumer Price Index rose 0.4% in October from the previous month, higher than the 0.3% economists were expecting but below September's 0.6% gain. Grocery prices increased 0.4% month over month, after remaining relatively flat over the past two months. The report does not include annual price changes because of the government shutdown in October 2025. The monthly increases in food prices are likely due to seasonal demand, higher sugar prices, and higher energy costs, with gas and diesel prices remaining persistently high.
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