United States: Inflation driven down in November by falling energy prices
December 17, 2014
In November, consumer prices decreased 0.3% over the previous month in seasonally-adjusted terms, which marked the biggest decline in almost six years. The print was down from the flat reading recorded in October and below market expectations of a 0.1% decline. November’s reading was mainly driven by a steep drop in energy prices, including gasoline.
Annual inflation fell from 1.7% in October to 1.3% in November, which marked the lowest level since February. Meanwhile, core consumer prices, which exclude food and energy prices, rose 0.1% over the previous month, which was down from the 0.2% increase observed in October. The figure was in line with market expectations. Annual average core inflation ticked down from 1.8% in October to 1.7% in November.
Author: Carl Kelly, Economist