CPI December 2024 Sees Third Monthly Rebound in the US

Key Points:

  • CPI December 2024 saw a 0.4% monthly increase, exceeding forecasts.
  • The annual core CPI for December 2024 fell to 3.2%, its lowest since August 2024.
CPI December 2024 reached 0.4%, surpassing the expected 0.3%. Annual CPI rebounded to 2.9%, while core CPI dipped to 3.2%, the lowest since August 2024.
CPI December 2024 Sees Third Monthly Rebound in the US

CPI December 2024 Records Monthly Increase Beyond Expectations

The seasonally adjusted CPI December 2024 had a rise of 0.4%, beating the forecasted 0.3% and past value of 0.3%. This is a significant acceleration in the pace of inflation, reflecting increased costs in major sectors. Its consistent rise depicts sustained economic pressure as demand strengthens through different industries.

Every year, the rate of CPI gained to 2.9% in December 2024, marking three months of rebound and reaching the highest level since July 2024. The uptrend underlines the broader inflationary trajectory and could shape fiscal and monetary policy decisions over the coming months, according to Wu Blockchain.

Read more: CPI Inflation Data Shows November Core CPI At 3.3%

Core CPI December 2024 Hits Lowest Level Since August

On the core inflation rate, the broader inflationary trends showed the unadjusted annual core CPI for December 2024 at 3.2%, the lowest since August 2024, and also came in according to market consensus of 3.3%. This decline in core CPI would therefore reflect stabilization in core sectors that are non-volatile in nature housing and services.

Despite this rise in core CPI, the broader outlook for inflation is mixed. While the gains in broader CPI suggest sustained economic activity, the decline in the core measure in this respect has hinted at easing pressures within key segments. This divergence shows the complexity of inflation dynamics as policymakers appraise economic performance.

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