Stripping out the more volatile components of food and energy, the core index held pat at a 4% year-over-year growth rate, staying at its lowest level since September 2021. The latest CPI report largely came in exactly as economists had expected and served up another piece of evidence that high inflation is (very) slowly, but surely, abating. Core CPI rose 0.3% from October, matching the prior month’s growth rate. Shelter prices rose for the second consecutive month, helping to offset the fall in gas prices, which sank 5.8% from October. However, the acceleration in core services inflation across both shelter and non-shelter services is a reminder that the sustained downward path in core services inflation that the Fed wants to see is still not within reach.”Sonola added: “The trend is still undoubtedly encouraging, but the fine details here will sow some doubts.”The-CNN-Wire™ & © 2023 Cable News Network, Inc., a Warner Bros.

Source: CNN December 12, 2023 17:01 UTC