UPDATE - US consumer prices up 7.5% in January, highest since February 1982

ADDS BIDEN'S COMMENTS

By Ovunc Kutlu

ANKARA (AA) - Consumer prices in the US rose 7.5% year-on-year in January, marking the largest 12-month increase since February 1982, the US Department of Labor said Thursday.

The consumer price index (CPI), which measures changes in the prices of goods and services from a consumer's perspective, came above the market estimate of 7.3%, rising 7% in December.

In January, the CPI rose 0.6% from the previous month, exceeding the market consensus of a 0.5% monthly increase. The CPI increase in December was revised up to 0.6%, from 0.5%.

The food index rose 0.9% in January, following a 0.5% increase in December. The energy index also increased 0.9% over the month.

On an annual basis, the indices for energy, gasoline, natural gas and electricity were up 27%, 40%, 23.9% and 10.7%, respectively.

Core consumer prices, which exclude food and energy, increased 0.6% in January from the previous month, following a 0.6% rise in December.

Core CPI jumped 6% year-on-year, marking the largest 12-month increase since the period ending August 1982, according to the Department of Labor.

US President Joe Biden said his administration will continue to have "all hands on deck to win" the fight against record inflation.

"While today’s report is elevated, forecasters continue to project inflation easing substantially by the end of 2022. And fortunately we saw positive real wage growth last month, and moderation in auto prices, which have made up about a quarter of headline inflation over the last year," he said in a statement released by the White House.

Biden said his administration is using "every tool at our disposal."

He noted that his two economic priorities have been to create more jobs and to lower prices for Americans who face high inflation related to the coronavirus pandemic.