The cost of everyday necessities continued to climb in October, putting more pressure on Americans already struggling to keep up with grocery bills, housing costs and other household expenses.

Consumer prices rose 0.4% from a month earlier, more than the 0.3% increase economists had anticipated, according to data from the Bureau of Labor Statistics released Tuesday.

Nearly a third of the overall increase in prices came from shelter costs, which include rent and other housing-related expenses.

Stripping out food and energy prices, so-called “core” inflation rose 0.3%, matching the rate in September and August. The firmness in price increases beyond the pump suggests that inflation is continuing to broaden out.

No year-over-year inflation figure was available because last year’s government shutdown prevented the BLS from collecting most of the price data needed to make the comparison.

Economists, however, estimated the annual rate to be around 4%, which would mark an increase from September’s 3.7% annual inflation rate.

The report comes days after Democrats scored sweeping midterm victories, with frustration over the cost of living emerging as a major issue for voters.

Prices continue to rise faster than workers’ pay, meaning Americans’ earnings are losing ground to the cost of living.

Adding to the squeeze, the October inflation report all but guarantees the Federal Reserve will hike its benchmark interest rate at the December monetary policy meeting, making borrowing more expensive for households already struggling with higher costs.

Shortly before Tuesday’s data was released, Fed Governor Christopher Waller, a key voice on the central bank’s rate-setting committee, said that if core inflation came in at 0.3%, he would be inclined to support a half-point hike next month, twice the size of the Fed’s typical move

“I am particularly concerned about the breadth of price increases,” he said in remarks delivered at a Bank of England conference on Tuesday.

The Fed last raised rates in September by a quarter point, marking the first time in three years that it increased borrowing costs.

With the significant jump in mortgage rates over the past few years, more would-be homebuyers are being forced to rent. That’s putting upward pressure on the rental market, where prices increased 0.3% in October.

From baby formula to smartphones

At the onset of the war with Iran, price increases appeared to be predominantly stemming from skyrocketing energy costs. The big silver lining was that other key household expenses, such as food, appeared to be insulated.

That’s not quite true anymore: Last month, food prices rose 0.5%, accounting for nearly a fifth of the overall monthly price increase. That’s likely a reflection of the surge in diesel prices, which have significantly raised transportation costs.

Food, particularly produce, is especially vulnerable to price increases when input costs rise, given profit margins are typically thinner, making it harder for businesses to absorb price increases.

Baby food and formula surged 5.1% in October, the largest monthly increase since the BLS began tracking that category nearly 30 years ago.

Beef prices continued to climb in October, as strong demand and a limited cattle supply kept pressure on the market. Ground beef and steak each rose more than 1%.

Electronics continued to get more expensive, a likely byproduct of higher chip prices stemming from surging demand due to the AI buildout.

Smartphones increased 1.4% in October, the largest increase since the BLS began tracking them seven years ago. Television prices rose 3.3%.