Inflation rose by less than economists expected for the month of January, according to the monthly jobs report released Friday by the Bureau of Labor Statistics.
Consumer prices increased by 2.4% compared to the same time last year — down by three-tenths of a percentage point from December.
Housing and food costs saw the greatest rise in January, at 0.2% each, while energy fell by 1.5%. Prices for airline fares, personal care, recreation, medical care, and communication also increased in the first month of the year.
However, prices for used vehicles, household furniture, and car insurance dipped.
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Always closely watched, inflation numbers are critical data for President Donald Trump’s affordability platform ahead of this year’s midterm elections. Trump has trumpeted his policies as lowering inflation, though U.S. voters still report costs are too high.
The overall inflation rate was 2.7% for 2025, the BLS reported last month, a drop from post-pandemic highs topping 9%. The president has targeted the agency for unfavorable numbers, firing Commissioner Erika McEntarfer in August.
The Consumer Price Index for all urban consumers reflects the prices paid by over 90% of the total U.S. population. BLS workers fan out across retail stores and online marketplaces in the U.S. to gather prices for a typical household’s purchases each month.
The release of the January report was delayed two days due to the government shutdown.
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