Inflation remained steady in December

The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.3% on a seasonally adjusted basis in December, the U.S. Bureau of Labor Statistics reported Tuesday. Over the last 12 months, the all-items index increased 2.7% before seasonal adjustment.

“Inflation remained steady in December with year-over-year headline and core prices unchanged from November,” said Dawit Kebede, America’s Credit Unions senior economist. “Commodity prices were flat, suggesting only mild tariff pass-through to consumers. Core services excluding shelter came in tame, indicating moderation in service prices. While inflation remains above the Federal Reserve’s 2% target, a softening labor market is expected to exert downward pressure on prices, with further moderation through 2026. Stabilizing inflation and improved outlook for 2026 is encouraging news for credit union members, even as grocery and housing costs remain elevated.”