The general inflation rate in the United States has risen again. In December, prices in the US increased by 2.9 percent compared to the previous year, according to the statistics agency’s report on Wednesday. Compared to the previous month, prices rose by 0.4 percent.
In November, consumer prices had increased by 2.7 percent over the past year. The core inflation, often referred to as the “core inflation rate” and excluding energy and food, stood at 3.2 percent in December, following 3.3 percent in the previous month.
Energy prices declined by 0.5 percent over the past year, after a 3.2 percent drop in the previous month. Food prices, on the other hand, rose by 2.5 percent over the past year (November: 2.4 percent).
Investors typically keep a close eye on the US inflation rate, as falling inflation rates can prompt the Federal Reserve to lower interest rates further. High interest rates are seen as a poison for the stock market and the real estate market, among other things, as the bank account becomes an attractive investment alternative.