Labor department released December Consumer price index (CPI) down -0.1% from last month and is at 6.5% from last year.

The labor department today released December 2022 Consumer Price Index and it showed a decline of -0.1% from last month and is at 6.5% from last year. A decrease in inflation is welcomed news for everyone. It lowers prices for consumers and signals peak inflation has been reached. The Federal Reserve uses inflation data to guide its interest rate decisions. There is possibility that interest rates can stabilizes and not rise as quickly. There had been fear that the recent large interest rate increases can crash the economy. This recent data gives the Federal Reserve reason to not tighten interest rate as much.

https://www.bls.gov/news.release/cpi.nr0.htm