U.S. inflation accelerated in September, boosting expectations of a December interest rate hike by the Federal Reserve.

U.S. consumer price growth accelerated in September, a development that may further support the Federal Reserve’s move to raise interest rates again in December after its pause on rate hikes this week. The U.S. Bureau of Economic Analysis (BEA) reported Thursday that the personal consumption expenditures (PCE) price index, the Fed’s preferred inflation gauge, rose 0.5% month-over-month in September and 3.6% year-over-year. The faster price gains confirm inflation remains above the Fed’s 2% long-term annual target. Core PCE, which excludes volatile food and energy categories, rose 3.1% year-over-year and 0.3% month-over-month in September, matching August’s core monthly increase. The day prior, Fed officials voted 10-2 to hold interest rates steady, with two policymakers dissenting in favor of a rate hike. Investors expect the Fed may raise rates again at its final meeting of the year in December, and potentially multiple times next year.