Washington ? Despite a big jump in energy costs, consumer inflation rose modestly in September. America’s trade deficit mushroomed to a record level in August as companies, worried about a West Coast dockworkers strike, speeded up imports.

Economists said the latest batch of economic data released Friday paints a picture of an economy that, while muddling forward, faces no threat from inflation.

The government’s most closely watched inflation gauge, the Consumer Price Index, edged up 0.2 percent last month, down from a 0.3 percent increase in August, the Labor Department said.

Low inflation gives the Federal Reserve leeway to hold short-term interest rates at 41-year lows, or even nudge them down a bit, at its next meeting on Nov. 6, economists said. Low interest rates might motivate consumers and businesses to spend and invest more and give a further impetus to the economy.

“The inflation outlook puts the Fed in a good position,” said Oscar Gonzalez, economist at John Hancock Financial Services.

A sharp drop in the prices of airline fares and computers in September helped blunt higher prices for energy products, hospital services and tuition.

“Consumer prices edged up modestly, … led by the usual crew,” said economist Joel Naroff of Naroff Economic Advisors. “Energy costs continued to soar. Tuition is now affordable only if you don’t attend school,” he joked.

The report showed energy costs shooting up 0.7 percent in September, the biggest increase since April, with a 1 percent jump in gasoline prices. Rising energy costs reflected uneasiness that a possible U.S. war in Iraq might disrupt global oil supplies.

Excluding energy and food prices, the core inflation rate inched up 0.1 percent in September, an improvement compared to the 0.3 percent rise in August.

In another report, the Commerce Department said the U.S. trade deficit swelled to a record $38.5 billion in August, representing a 9.7 percent increase from July’s level.

Imports of goods and services rose by 2 percent to $120.3 billion, the highest level in 17 months. Exports fell by 1.3 percent to $81.9 billion. Exports of cars, household appliances, televisions, machinery and food products went down.