Shelter and Food Costs Drive U.S. Inflation as Energy Prices Decline
Annual U.S. Inflation Rate Moderates to 3.1%, Reflecting Mixed Price Trends in Key Sectors
The U.S. Consumer Price Index for All Urban Consumers (CPI-U) increased 0.3 percent in January, continuing its upward trajectory from a 0.2 percent rise in December, a new report says.
This increment reflected the ongoing economic growth within the United States, according to the Bureau of Labor Statistics (BLS) released on Tuesday.
The report said the cost of shelter and food primarily moved the inflation numbers, with shelter costs rising 0.6 percent and affecting the monthly all items increase. In contrast, energy prices saw a downturn, with the energy index falling 0.9 percent, primarily due to a decrease in the gasoline index.
The BLS report follows a recent remark by top Federal Reserve official Jerome Powell that the Federal Reserve is on track to cut the interest rates this year as inflation is nearing its target rates.
