US CPI in line with forecasts in December
US consumer prices rose in December, driven by gains in prices for energy, second-hand autombiles and medical care commodities.
The headline cost of living in the States increased by 0.3% month-on-month and 2.1% year-on-year, according to the Bureau of Labor Statistics.
Economists had been anticipating increases of 0.3% and 2.1%, respectively.
At the 'core' level, consumer prices advanced at a 0.2% month-on-month and 2.2% year-on-year clip.
In November, core CPI was up by 2.1%.
In comparison to the month before, energy prices were ahead by 1.5%, those of used cars and trucks by 0.5% and the cost of medical care commodities by 0.4%.
Prices of transportation services rose 0.6% whereas those of apparel declined by 0.7%.
"By the end of Q1, nheadline inflation will be at about 2-3/4%, pushing up consumers’ inflation expectations, while the core likely will be little changed. Over the course of this year, though, we expect the core to rise towards 3%, leaving the Fed very exposed," said Ian Shepherdson, chief economist at Pantheon Macroeconomics.