Fed's favorite inflation measure stayed hot
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Earlier delayed data indicated inflation cooled in the month.
As Trump finishes the first year of his second term — having won the presidency on a pledge to " get the prices down " — the picture on inflation is more nuanced than he or his critics acknowledge. Year-over-year inflation is down from January 2025 — but only slightly, from 3.0% to 2.7%.
The December CPI reading caps a year when many Americans felt squeezed by affordability pressures.
U.S. inflation falls to 2.7% in Dec 2025 after Fed tightening and QE shifts, with economic stimulus under President Trump supporting growth. Learn why this matters.
US consumer inflation was steady in December as analysts expected, government data showed Tuesday, capping a year in which affordability worries flared while President Donald Trump's tariffs weighed on the economy.
Warnings about runaway prices are back in the headlines, and "hyperinflation" has become a favorite word for pundits and social media doomers. For households already stretched by higher rents, groceries, and car payments, it can sound like a signal to dump ...