Consumer prices rose less than expected in November, providing the latest sign that runaway inflation is beginning to loosen its grip. The consumer price index rose 0.1% in November from a month ago and 7.1% year-over-year, the U.S. Department of Labor reported Tuesday. Economists surveyed by Dow Jones had expected a 0.3% monthly increase and 7.3% annual growth, reported CNBC.
Excluding volatile food and energy prices, so-called core CPI rose 0.2% month-over-month and 6% on an annual basis, compared with respective estimates of 0.3% and 6.1%, CNBC reported. The increase from a year ago, although still well above the Federal Reserve’s 2% target, was tied for the lowest since November 2021.
The CPI report, marking the second consecutive month of slowing inflation, comes the same day the Fed’s rate-setting Federal Open Market Committee begins its two-day meeting. Markets widely expect the FOMC on Wednesday to announce a 0.5-percentage point rate increase in the federal funds rate, following four consecutive increases of 0.75 points.
“The Fed could dismiss the better-than-expected October as just one month’s data, but the further slowdown in November makes this new disinflationary trend harder to dismiss,” Paul Ashworth, chief North America economist for Capital Economics, wrote in a post-CPI note titled, “Stick a fork in it, inflation is done,” according to CNBC.
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Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).
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