According to the most recent Consumer Price Index (CPI)
report from the Bureau of Labor Statistics, US inflation decreased to 6.0% in
January, representing a 0.4% decrease from January's figures.
The report was released after the Federal Reserve announced
plans to raise interest rates in the coming year and somewhat resumed its
hawkish stance. This is a quick recap of the report and its potential
consequences.
Housing Prices Drive US Inflation Up
According to the report, the index for shelter contributed
70% of the monthly increase in all categories, making it "by far the
largest contributor"—just like in January. Indexes for food, gas, and
natural gas also added to the rising inflation.
February saw a 0.4% increase in the food index and a 0.3%
increase in the food at home index