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December US CPI: No Coal in the Stocking
From wellsfargo.bluematrix.com
The CPI report covering the final month of 2025 generally was encouraging. Core CPI in December rose 12 bps less than our forecast, largely on the back of a smaller-than-expected bounce back in core goods inflation after November's unusually soft, shutdown-delayed report. On a year-over-year basis, the core CPI held steady at 2.6%, an improvement from the 3.1% reading in August and the 3.2% pace seen in December 2024. A quirk related to shelter inflation is depressing the year-over-year CPI readings by a tenth or so. Furthermore, we are not out of the woods yet on the tariff front, as Q1 seasonality related to ... (full story)