A sharp rise in fuel costs helped push U.S. consumer prices up 3.7% in the year through September, squeezing household budgets even as Social Security recipients were promised a 3.6% benefit increase for next year. Prices rose 0.6% from August to September, according to Labor Department figures released Wednesday, Oct. 14. Energy costs climbed amid the U.S. war with Iran, adding pressure just as colder weather approaches. Heating oil prices were up 74% over the year, a particular burden for households in New England that depend on the fuel. “Everybody knows” gasoline is a problem, said Boston College economist Brian Bethune, who also pointed to heating oil. Core inflation—which excludes food and energy, whose prices can swing sharply—rose 2.6% over the year, a faster annual pace than in August. The Social Security Administration said its cost-of-living adjustment will raise benefits 3.6% in 2027. The adjustment, calculated using prices in July, August and September, translates to about $75 more per month for the average recipient. The increase offers some relief, but it may not match the expenses many retirees actually face. AARP CEO Myechia Minter-Jordan said the adjustment helps millions keep up with groceries, routine bills and health care. Max Richtman, who leads the National Committee to Preserve Social Security and Medicare, countered that it will not be enough for most seniors to maintain their financial footing, citing health care costs that can rise faster than the adjustment. Workers are also losing ground: average wages rose 3% in September, below the 3.7% inflation rate. Bethune said workers may feel that their effort and productivity are not being rewarded as prices climb. The report comes amid repeated supply shocks, including the Iran conflict and U.S. tariffs. Cleveland Federal Reserve President Beth Hammack has warned that businesses may raise prices not only to cover current costs but also in anticipation of future increases. If consumers and companies come to expect higher prices, she said, inflation could become harder to bring down. Federal Reserve policymakers are due to consider the latest figures at a meeting in two weeks. Investors see roughly even odds of an interest-rate increase in October, an effort to cool inflation that could also make borrowing more expensive.