Updated: 12-Feb-25 09:23 ET

January CPI

Updated: 12-Feb-25 09:23 ET

Highlights

• Total CPI increased 0.5% month-over-month in January (Briefing.com consensus 0.3%) following a 0.4% increase in December.
• Core CPI, which excludes food and energy, increased 0.4% month-over-month (Briefing.com consensus 0.3%) following a 0.2% increase in December.
• On a year-over-year basis, total CPI was up 3.0%, versus 2.9% in December, while core CPI was up 3.3%, versus 3.2% in December.

Key Factors

• The food index increased 0.4% month-over-month and was up 2.5% year-over-year.
• The energy index jumped 1.1% month-over-month and was up 1.0% year-over-year.
• The shelter index increased 0.4% month-over-month and was up 4.4% year-over-year.
• The used cars and trucks index rose 2.2% month-over-month and was up 1.0% year-over-year.
• The apparel index was down 1.4% month-over-month and was up 0.4% year-over-year.
• The services index was up 4.2% year-over-year (services less rent of shelter was up 3.9%).
• The all items index less shelter was up 2.2% year-over-year.

Big Picture

• The key takeaway from the report is that the inflation readings moved in the wrong direction for the Fed's policy comfort (and that's before any possible impact from tariff actions), which will keep the market on edge about the Fed perhaps not cutting rates at all this year or maybe even having to keep a rate hike on its policy deliberation table.

Category	JAN	DEC	NOV	OCT	SEP
All Items	0.5%	0.4%	0.3%	0.2%	0.2%
Food and Beverages	0.4%	0.3%	0.3%	0.2%	0.3%
Housing	0.3%	0.3%	0.3%	0.4%	0.3%
Equivalent Rent	0.3%	0.3%	0.3%	0.4%	0.3%
Apparel	-1.4%	0.1%	0.1%	-0.9%	1.0%
Transportation	1.2%	1.2%	0.3%	0.1%	0.1%
Vehicles	1.0%	0.3%	0.6%	0.3%	0.4%
Motor Fuel	1.8%	4.0%	0.3%	-1.0%	-2.3%
Medical Care	0.2%	0.1%	0.2%	0.2%	0.4%
Educ and Commun	0.3%	0.0%	-0.3%	-0.2%	0.0%
Special Indices
Core	0.4%	0.2%	0.3%	0.3%	0.3%
Energy	1.1%	2.4%	0.1%	-0.2%	-1.0%
Services	0.5%	0.3%	0.3%	0.4%	0.4%