US consumer inflation slightly eases to 6.4% in January

By Ovunc Kutlu

ISTANBUL (AA) – Annual consumer inflation in the US came in at 6.4% in January, slightly easing from 6.5% in December, according to official figures released on Tuesday.

However, the consumer price index (CPI), which measures changes in the prices of goods and services from a consumer's perspective, were higher than the market estimate of a 6.2% increase.

The figure was the smallest 12-month increase since the period ending October 2021, while it marked a sharp decline from June's 9.1% yearly gain, the largest since November 1981.

On a monthly basis, CPI rose 0.5% from the previous month, in line with the market expectation. The figure for December was revised to a 0.1% gain from a decline of the same magnitude.

"The food index increased 0.5 percent over the month with the food at home index rising 0.4 percent. The energy index increased 2.0 percent over the month as all major energy component indexes rose over the month," the Labor Department said in a statement.

Core CPI, which excludes food and energy, gained 0.4% in January from the previous month, also coming in line with the market estimate. December's reading was revised up to a 0.4% gain, from an increase of 0.3%.

Annually, core CPI rose 5.6% in January, exceeding the market estimate of 5.5% after it rose 5.7% in December year-on-year.

"The energy index increased 8.7 percent for the 12 months ending January, and the food index increased 10.1 percent over the last year," the statement said.