U.S. Consumers Get Inflation Relief As Consumer Prices Rise Less Than ExpectedJohn Carney 12 Mar 2025
Americans got relief from inflation in February as prices rose at the slowest pace since last summer.
Consumer prices rose 2.8 percent in the 12 months through February, the Labor Department reported Wednesday, slower than the three percent year-over-year increase recorded in January. Economists had forecast the consumer price index (CPI) would be up 2.9 percent versus a year ago.
Core CPI, which excludes volatile food and energy prices, rose 3.1 percent compared with a year earlier. This was a smaller annual increase than consumers faced in January, when core prices were up 3.3 percent. Economists had forecast a 3.2 percent rise.
The monthly pace of price increases slowed significantly in February. Overall consumer prices climbed just 0.2 percent, the smallest increase since August 2024. In January, prices jumped 0.5 percent compared with December. Core prices also rose 0.2 percent, half of January’s 0.4 percent surge.
Rising home prices and rents was a major contributor to inflation in February. The index for shelter rose 0.3 percent in the month and accounted for nearly half of the overall monthly increase, the Labor Department said.
Two of the most politically sensitive and economically salient areas of the economy brought consumers significant relief from inflation. The index for grocery prices—described as “food at home” by the Labor Department—did not rise at all. Gasoline prices fell by one percent.
https://www.breitbart.com/economy/2025/03/12/inflation-cools-consumer-prices-rise-less-than-expected/
