Inflation Inched Higher In December, Up 2.9% Over Last 12 Months

Washington, DC, January 15, 2025-The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.4% on a seasonally adjusted basis in December, after rising 0.3% in November, the U.S. Bureau of Labor Statistics reported. 

Over the last 12 months, the all-items index increased 2.9% before seasonal adjustment.

The index for energy rose 2.6% in December, accounting for over 40% of the monthly all-items increase. The gasoline index increased 4.4% over the month. 

The index for food also increased in December, rising 0.3% as both the index for food at home and the index for food away from home increased 0.3% each.

The index for all items less food and energy rose 0.2% in December, after increasing 0.3% in each of the previous four months. 

Indexes that increased in December include shelter, airline fares, used cars and trucks, new vehicles, motor vehicle insurance, and medical care. The indexes for personal care, communication, and alcoholic beverages were among the few major indexes that decreased over the month.

The all-items index rose 2.9% for the 12 months ending December, after rising 2.7% over the 12 months ending November. The all-items less food and energy index rose 3.2% over the last 12 months. The energy index decreased 0.5% for the 12 months ending December. The food index increased 2.5% over the last year.