Posted 1/11/2024, 3:57:00 PM
US Inflation Ticks Up in December, Keeping Squeeze on American Budgets
- Inflation in the US picked up more than expected in December, hitting 3.4% over the year driven by housing, dining out, and car insurance costs
- Inflation has dropped sharply since peaking at 9.1% in June 2022, but the latest figures show progress in cooling price rises is still slow
- Price increases have moderated more for goods as pandemic supply issues ease, but service costs like rents and car insurance are still seeing significant rises
- The uptick may give the Fed reason for caution about quickly cutting interest rates as financial markets expect
- Despite inflation easing from highs, many Americans like 28-year-old Harish Kunchala still feel budget pressures from high prices of items like meat