The Consumer Price Index, the government's key inflation reading, is now down only 0.2% during the past 12 months compared to the same period a year ago. This is the smallest 12-month rate of decline since February.

The so-called core CPI, which is more closely watched by economists because it strips out volatile food and energy prices, is up 1.7% over the past year.

For the month, overall prices rose 0.3%. Economists surveyed by Briefing.com had forecast a 0.2% rise. A 6.3% rise in fuel prices helped feed the overall increase.

The core CPI rose just 0.2%, but that was higher than the forecast of a 0.1% increase.