US Inflation Remains at 2.7% With December CPI Increase

The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.3 percent month over month in December 2025, according to the US Bureau of Labor Statistics (BLS). This rise in consumer prices kept annual inflation steady at 2.7 percent.

Energy Price Fluctuations

Energy prices rose 0.3 percent in December. Natural gas prices increased significantly by 4.4 percent, offsetting declines in gasoline (down 0.5 percent) and electricity (down 0.1 percent) on a seasonally adjusted basis. Annually, energy inflation stood at 2.3 percent, primarily influenced by a 6.7 percent increase in electricity prices and a 10.8 percent surge in natural gas prices. Gasoline prices, however, were 3.4 percent lower compared to the previous year.

Core Inflation Data

Core inflation, which excludes food and energy, increased 0.2 percent in December. Over the past 12 months, core inflation rose 2.6 percent.

CPI Variations

In not seasonally adjusted terms, the CPI-U increased 2.7 percent over the past year, reaching an index level of 324.054. The CPI-W, which monitors urban wage earners and clerical workers, rose 2.6 percent. The chained CPI, which accounts for consumer substitution effects, increased 2.5 percent, indicating slightly softer inflation.