The Fed’s preferred inflation gauge, the core PCE price index, rose 2.8% year-over-year in November. This was consistent with the forecast and a slight pickup from October's 2.7% reading. On a monthly basis, the core index was up 0.2%, as expected.

Earlier delayed data indicated inflation cooled in the month.

The final Consumer Price Index report of 2025 caps off a year in which inflation gradually eased but remained uneven across the economy.

President Trump declared inflation “defeated” during a speech at the Detroit Economic Club on Tuesday despite a report earlier that day showing annual price growth of 2.7 percent, putting pressure on the White House and congressional Republicans to respond to affordability more aggressively ahead of the midterms.

U.S. inflation slowed to 2.7% in 2025, the lowest since 2020, as the Fed cut rates and tariffs added costs to some household goods.

It's natural to worry about inflation's impact on your buying power — especially once you're no longer earning a paycheck from work. But with the right investments and Social Security filing strategy, you can set yourself up to keep up with inflation and minimize your financial stress later in life.

US inflation held steady in December at a slightly cooler pace than the start of 2025 – though missing data due to the government shutdown left the report murkier than usual. The Consumer Price Index rose 2.